Which of the Following Stock Funds Would Probably Have the Lowest

question 13

Multiple Choice

Which of the following stock funds would probably have the lowest risk and return?

• A)TSX Index
• B)Capital appreciation
• C)Dividend
• D)Technology Sector

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Definitions:

Investment

Expenditures that increase the volume of physical capital (roads, factories, wireless networks) and intangible ideas (formulas, processes, algorithms) that help to produce goods and services. Also known as economic investment. Not to be confused with financial investment.

Marginal Analysis

The comparison of marginal (“extra” or “additional”) benefits and marginal costs, usually for decision making.

Extra Benefits

Additional advantages or services provided beyond the standard or expected, often included in employment contracts, insurance policies, or membership programs.

Extra Costs

Expenses that are not anticipated, often occurring outside of normal or planned operating expenses.