Page 8 38. A stock that is issued by a company that has been historically stable and has had consistent growth over a long period of time is referred to as a(n) A. Blue chip stock B. Value stock C. Growth stock D. Income stock E. Defensive stock 39. Which of the following refers to a strategy in which you would have a variety of investments in your portfolio, such as holding stock in different companies that are different industries, instead of investing all of your funds into one company's stock? A. Compound interest B. Dollar cost averaging C. Buying on margin D. Asset allocation E. Diversification 40. In a bull market, the value of the stock market generally ; in a bear market, the value generally A. Declines; remains static B. Declines; increases C. Increases; declines D. Remains static; declines E. Increases; remains static