1. Brooke and Brisco each invested $1,000 into a mutual fund. Brooke invested her money in a fund that generated an 11% return with a 1% expense ratio, netting a 10% return. Brisco invested in a different fund that generated an 11% return with a 2% expense ratio, netting a 9% return. How much more will Brooke have accumulated compared to Brisco after 20 years?

Group of answer choices

Between 0% and 10%.

Between 10% and 20%.

Between 20% and 30%.

Over 30%.

2. Relevant variables for computing the net asset value of a mutual fund most likely exclude:

Group of answer choices

The initial outstanding shares.

The current outstanding shares.

The market value of the fund's assets.

The market value of the fund's liabilities.

3. The Jensen Hybrid Fund would most likely be chosen as an investment vehicle by:

Group of answer choices

Investors seeking high returns on equity investments.

Investors seeking to plan for retirement.

Investors seeking growth opportunities.

Investors seeking low tax liabilities.

4. Solid Rock Fund invests in long-term high quality corporate fixed-income securities. Investors would most likely be attracted to this fund during times of:

Group of answer choices

High equity returns.

High inflationary periods.

Falling interest rates.

Concentrated sector bankruptcies

5. Which of the following is most accurate regarding investment companies?

Group of answer choices

Open-end funds are capable of issuing shares and redeeming shares on a daily basis.

Funds that perform well during specified periods tend to repeat that performance over subsequent periods.

Index funds are formed to mimic a specified index with managerial leeway in the allocation decision.

Funds run by a group of managers tend to outperform single manager funds.