A mutual fund expert would inform you that among the following statements about money market mutual funds which is true?

		They invest in commercial paper, CDs, and repurchase agreements.
		They usually offer check-writing privileges.
		They are highly leveraged and risky.
		They invest in commercial paper, CDs, and repurchase agreements, and they usually offer check-writing privileges.

The Beacon Hill Mutual Fund had a net asset value of $36.12 per share on January 1, 2018. On December 31 of the same year, the fund's NAV was $39.71. Income distributions were $0.64, and the fund had capital gain distributions of $1.13. Without considering taxes and transactions costs, what rate of return did an investor receive on the Beacon Hill Mutual Fund last year?

		22.92%
		17.68%
		18.52%
		14.39%
		14.84%

The call feature makes a bond riskier because:

		the issuer may not have sufficient cash to redeem the bonds at the call date.
		investors who ignore the call will not be paid the bond's principal.
		after the bond is called, the investor will need to find a new place to invest, probably at a lower rate.
		the issuer may have decided not to call the bond and it will have to be held to maturity or sold in the secondary market.

When investors face a bear market, what type of trade can they make to earn a profit/gain?

		long purchase.
		short purchase.
		long sale.
		short sale.

Which of the following accurately describe reasons for investing in mutual funds?

I. to effectively control the timing of capital gains for tax purposes

II. to achieve portfolio diversification at a reasonable cost

III. to invest in unfamiliar sectors or geographic regions

IV. to outperform the market

		I and IV only
		II and III only
		I, II and III only
		I, II, III and IV

Which one of the following statements about common stock is false?

		Each share of stock has a specified maturity date.
		Common stock gives stockholders last title to a share of the company's earnings, after other corporate obligations.
		Common stock typically provides lower levels of current income than do similar grade corporate bonds.
		Each share of common stock of a given class entitles the holder to an equal ownership position and an equal vote in the corporation.

Three years ago, Roger purchased a 10-year government bond with a yield of 4.95%. Today, the interest rate on government bonds with 7 years to maturity is 3.7%. If Roger were to sell his bond today, he most likely will:

		realize a capital gain.
		realize a capital loss.
		sell the bond at face value.
		sell the bond at par value.