The geometry teacher, Mrs. Square, adds to the conversation, My fellow colleague might be right about some things. But when he claims you should buy the SPY ETF he is forgetting to mention a very important piece of information.

1. What\ important information about S&P 500 is true?

Mark all that apply.

A. Although the S&P 500 Index tracks 500 large companies, it doesnt really represent the whole market

B. The S&P 500 normally underperforms actively managed mutual funds.

C. The S&P 500 is a price-weighted index, so the higher priced stocks in the index have a greater influence on the return of the index.

D. The fund is not equally balanced between all the stocks.

NEXT TWO ARE MULTIPLE CHOICE

2. What are inverse ETFs?

Multiple choice.

A. An ETF that is popular for retirees whose goals have inverted after retirement

B. An ETF that has been removed from the stock exchange

C. An ETF that amplifies (usually by two or three times) the return of a specific index: If an index goes up by three, a 2X ETF that tracks it will go up by six.

D. An ETF that bets against the market: If the market goes down, this ETF will go up, and vice versa.

3. What is a leveraged ETF?

Multiple choice.

A. An ETF that will always make more money than a non-leveraged ETF

B. An ETF that follows an index but bets on two or three times of that indexs performance

C. An ETF that uses bonds and preferred stocks to leverage the portfolio.

D. An ETF that has limited supply, which gives owners leverage over potential buyers

THAT IS ALL THE INFO STUDENTS RECEIVED

I UNDERSTAND THAT WE ARE NOT ALLOWED TO POST MULTIPLE QUESTIONS BUT I AM REALLY STRUGGLING IN THIS ONLINE CLASS AND I REALLY NEED HELP. I ALWAYS EMAIL MY PROFESSOR BUT SHE DOESN'T EVEN LIVE IN THE UNITED STATES, SO I ALWAYS GET REPLIES AROUND 1-5 AM BUT THAT IS WHEN I AM ASLEEP AND CAN'T REPLY.