When a seller executes a repurchase agreement, the seller agrees to repurchase the asset at a lower price.

Question 6 options:

	a)	True
	b)	False

Question 7 (2.5 points)

A small cap fund has total assets of less than $100 million.

Question 7 options:

	a)	True
	b)	False

Question 8 (2.5 points)

No-load funds with 12b-1 fees are able to charge their existing shareholders for marketing expenses.

Question 8 options:

	a)	True
	b)	False

Question 9 (2.5 points)

The advantages offered by investment companies include 1. professional management 2. avoidance of income taxes by the investor 3. portfolio diversification

Question 9 options:

	a)	1 and 2
	b)	1 and 3
	c)	2 and 3
	d)	all of the above

Question 10 (2.5 points)

If a mutual fund specializes in the securities of one sector of the economy, unsystematic risk may not be reduced.

Question 10 options:

	a)	True
	b)	False

When a seller executes a repurchase agreement, the seller agrees to repurchase the asset at a lower price. A small cap fund has total assets of less than $100 million No-load funds with 12b-1 fees are able to charge their existing shareholders for marketing expenses. The advantages offered by investment companies include professional management avoidance of income taxes by the investor portfolio diversification If a mutual fund specializes in the securities of one sector of the economy, unsystematic risk may not be reduced