Which One of the Following Statements Is Correct Concerning the Mutual

question 86

Multiple Choice

Which one of the following statements is correct concerning the mutual fund cash ratio (MFCR) ?

• A)When mutual funds have a lot of cash it is a bearish signal because managers are not buying stocks.
• B)Low mutual fund cash is bullish because it means managers have been buying stocks.
• C)High mutual fund cash indicates that fund managers might be forced to sell securities should investors wish to withdraw funds, a bearish signal.
• D)A high MFCR is like high short interest in that it indicates pent up demand.

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Definitions:

Taft-Hartley Act

Federal legislation designed to curtail some of the powers that unions had acquired under the Wagner Act; designates certain union actions as unfair. Also called Labor-Management Relations Act.

Wagner Act

The first major piece of federal legislation adopted explicitly to encourage the formation of labor unions and provide for collective bargaining between employers and unions as a means of obtaining the peaceful settlement of labor disputes.

Sex Discrimination

Unfair treatment of people because of their sex or gender; includes both direct discrimination and practices that have a disproportionate impact on members of one sex.

Gender

A category that refers to the social and cultural distinctions associated with being male, female, or non-binary.