The Key Difference Between Mutual Funds and Separately Managed Accounts

question 24

Multiple Choice

The key difference between mutual funds and separately managed accounts is that:

• A)Mutual funds are taxed as capital gains while separately managed accounts are not
• B)Separately managed accounts are taxed as capital gains while mutual funds are not
• C)There is no difference between the two
• D)Mutual funds pool all investor funds in one account while separate accounts investors own stocks and bonds that are placed in their name in a segregated account
• E)None of the above

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Definitions:

Masters and Johnson's Phases

The four-stage model of sexual response, comprising excitement, plateau, orgasm, and resolution, identified by researchers William Masters and Virginia Johnson.

Level of Arousal

A state of physiological and psychological alertness or readiness, often linked to performance and activity.

Sexual Response Cycle

A sequence of physical and emotional phases that humans experience during sexual activity, including stages of excitement, plateau, orgasm, and resolution.

Refractory Period

The period of time during which a cell or organ cannot replicate a particular action, such as the time after a nerve impulse during which a neuron is unable to fire again.