Question 1

Investment company earnings come from

Accepted Answer

A)  capital gains. 
B)  dividend from stocks. 
C)  interest from bonds. 
D)  interest and dividends. 
E)  interest,dividends,and capital gains. 
A)  capital gains. 
B)  dividend from stocks. 
C)  interest from bonds. 
D)  interest and dividends. 
E)  interest,dividends,and capital gains.

Question 2

A balanced fund that emphasizes growth in capital is called a(n)

Accepted Answer

A)  bond and preferred stock fund. 
B)  diversified common stock fund. 
C)  equity-income fund. 
D)  money market fund. 
E)  growth and income fund. 
A)  bond and preferred stock fund. 
B)  diversified common stock fund. 
C)  equity-income fund. 
D)  money market fund. 
E)  growth and income fund.

Question 3

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.Select A for the first item,B for the second item,and C if neither item will correctly complete the statement.
-You [could | could not] switch your investments from your Fidelity income fund to another Fidelity fund by making a phone call.

Accepted Answer

The answer of INSTRUCTIONS: Choose the word or phrase in...

Question 4

A(n)____ fund is quite speculative.

Accepted Answer

A)  balanced 
B)  growth 
C)  equity income 
D)  aggressive growth 
E)  money market 
A)  balanced 
B)  growth 
C)  equity income 
D)  aggressive growth 
E)  money market

Question 5

Morningstar,Wiesenberger,and Value line are companies that provide information about mutual funds to investors.

Accepted Answer

A) True 
 B)False

Question 6

An investor with a small amount of money should stick to using loaded-funds instead of no-load funds.

Accepted Answer

A) True 
 B)False

Question 7

A closed-end investment company that invests in various types of real estate and mortgages is a

Accepted Answer

A)  hybrid real estate investment trust. 
B)  blind pool syndicate. 
C)  real estate general partnership. 
D)  hybrid limited partnership. 
E)  mortgage real estate investment trust. 
A)  hybrid real estate investment trust. 
B)  blind pool syndicate. 
C)  real estate general partnership. 
D)  hybrid limited partnership. 
E)  mortgage real estate investment trust.

Question 8

Asset allocation funds invest in stocks,bonds,and cash.

Accepted Answer

A) True 
 B)False

Question 9

Dividend income and capital gains distributions are taxed at identical tax rates.

Accepted Answer

A) True 
 B)False

Question 10

Equity-income funds emphasize capital appreciation in their investment goals.

Accepted Answer

A) True 
 B)False

Question 11

Future fund performance is the real key to investment success with mutual funds.One important element to examine when attempting to predict a fund's future performance is the

Accepted Answer

A)  performance of other funds. 
B)  nature of the fund being considered. 
C)  future course of the market. 
D)  fund's past performance. 
E)  all of the above. 
A)  performance of other funds. 
B)  nature of the fund being considered. 
C)  future course of the market. 
D)  fund's past performance. 
E)  all of the above.

Question 12

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.Select A for the first item,B for the second item,and C if neither item will correctly complete the statement.
-[Growth | Equity-income] funds would be more speculative.

Accepted Answer

The answer of INSTRUCTIONS: Choose the word or phrase in...

Question 13

If a mutual fund provides for automatic reinvestment,the reinvested dividends will not be taxed until the shares are redeemed.

Accepted Answer

A) True 
 B)False

Investment company earnings come from

A balanced fund that emphasizes growth in capital is called a(n)

A(n)____ fund is quite speculative.

Morningstar,Wiesenberger,and Value line are companies that provide information about mutual funds to investors.

An investor with a small amount of money should stick to using loaded-funds instead of no-load funds.

A closed-end investment company that invests in various types of real estate and mortgages is a

Asset allocation funds invest in stocks,bonds,and cash.

Dividend income and capital gains distributions are taxed at identical tax rates.

Equity-income funds emphasize capital appreciation in their investment goals.

Future fund performance is the real key to investment success with mutual funds.One important element to examine when attempting to predict a fund's future performance is the

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.Select A for the first item,B for the second item,and C if neither item will correctly complete the statement. -[Growth | Equity-income] funds would be more speculative.

If a mutual fund provides for automatic reinvestment,the reinvested dividends will not be taxed until the shares are redeemed.

Understanding the Financial Planning Process

Your Financial Statements and Plans

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Planning for Retirement

Preserving Your Estate

Filters

Exam 13: Investing in Mutual Funds

Investment company earnings come from

A balanced fund that emphasizes growth in capital is called a(n)

A(n)____ fund is quite speculative.

Morningstar,Wiesenberger,and Value line are companies that provide information about mutual funds to investors.

An investor with a small amount of money should stick to using loaded-funds instead of no-load funds.

A closed-end investment company that invests in various types of real estate and mortgages is a

Asset allocation funds invest in stocks,bonds,and cash.

Dividend income and capital gains distributions are taxed at identical tax rates.

Equity-income funds emphasize capital appreciation in their investment goals.

Future fund performance is the real key to investment success with mutual funds.One important element to examine when attempting to predict a fund's future performance is the

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.Select A for the first item,B for the second item,and C if neither item will correctly complete the statement. -[Growth | Equity-income] funds would be more speculative.

If a mutual fund provides for automatic reinvestment,the reinvested dividends will not be taxed until the shares are redeemed.

Understanding the Financial Planning Process

Your Financial Statements and Plans

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Planning for Retirement

Preserving Your Estate

Filters