1. Are mutual funds subject to federal income taxation? Are distributions from mutual funds taxable? 2. What is a loading charge? Do all investment companies charge this fee? 3. What is a specialized mutual fund? What differentiates large and small cap funds? Value and growth funds? 4. What advantage do "families" of funds offer? 5. What differentiates a traditional savings account at a commercial bank from a market mutual fund? Are investments in money market funds as safe as savings ac- counts and certificates of deposit with a commercial bank? 6. What assets do money market mutual funds acquire? Could an individual investor with $12,345 to invest in a safe, short-term security acquire these assets? 7. Should an investor expect a mutual fund to outperform the market? If not, why the investor buy the shares? 8. What are the differences among loading fees, exit fees, and 12b-1 fees? 9. Why may the annual growth in a fund's net asset value not be comparable to the return earned by an individual investor? 10. How may beta coefficients be used to standardize returns for risk to permit compari-1 fund performance? .1 11. If a portfolio manager earned 15 percent when the market rose by 12 percent, does this prove that the manager outperformed the market? 12. How may realized returns be adjusted for risk so that investment performance may be judged on a risk -adjusted basis