1. If you use a 110-age investing rule and are 25 years old, what percent would you place in bonds?

15%; 25%; 75%; 85%

2. You are looking at a 2050 target date fund. What does that mean?

- The fund will have 20% in bonds, 50% in stock, and 30% in cash; Choose this fund if your life expectancy ends in 2050; Choose this fund if you expect to retire in 2050; or choose this fund if you plan to spend all your investments by 2050

3. Portfolio theory suggests one should

- Invest in limited assets to keep investing simple; diversify; only invest in stocks; select stocks based on their standard deviation.

4. For someone with 40 years until retirement, what would likely be the best recommendation?

- 100% in cash so as not to lose money; 80% in stocks, 20% in bonds; 90% in bonds, 10% in stocks, or 100% in gold