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Which one of the following statements is correct concerning mutual funds? Multiple Choice A. Investments in mutual funds are guaranteed from loss by a private

Which one of the following statements is correct concerning mutual funds?

Multiple Choice

A. Investments in mutual funds are guaranteed from loss by a private agency of the federal government.

B. All mutual funds are diversified.

C. Profits on the sale of mutual fund shares are tax-free.

D. Mutual funds are risk-free.

E. Mutual funds generally pay no taxes.

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