Which of the Following Issues Can Be Categorized as a Consumption

question 22

Multiple Choice

Which of the following issues can be categorized as a consumption and savings issue?

• A)The need to resolve a debt problem.
• B)The desire to improve investment returns.
• C)Discomfort with the current risk profile.
• D)All of the above.
• E)None of the above.

---

Definitions:

Quarterly Return

The financial return or profit generated by an investment over a three-month period.

Investment

Commitment of current resources in the expectation of deriving greater resources in the future.

Effective Annual Rate

The interest rate on an investment or loan which accounts for the effect of compounding over a given period.

Semi-annually Return

The rate of return on an investment calculated by compounding interest twice a year.