1.

Which investment below would be most appropriate for investors who need income?

		a. High quality corporate bonds
		b. International stocks
		c. Zero coupon bonds

2.

Which item below would not be a characteristic of an exchange-traded fund (ETF)?

		a. They have very low expense ratios.
		b. They are easily bought and sold.
		c. They have a tax disadvantage in that all gains are taxable, even if shares are not sold.
		d. ETF that invests in stock market indexes, such as the S & P 500.

3.

Describe how employer-sponsored retirement plans work in general.

In an employer-sponsored retirement plan,

		a. the money can be invested in any type of investment account chosen by the employee.
		b. you and/or your employer contribute money to a retirement account each pay period.
		c. the money is taxed at the capital gains tax rate.
		d. the money is taxed when the contribution is made.

4.

4. If your investment goal is simply to match the market, should buy a(n)

		a. Growth Fund
		b. Value Fund
		c. Index Fund
		d. Monet Market Fund