Test Bank For Fundamentals of Investing, 13th Edition

Test Bank For Fundamentals of Investing, 13th Edition gives you instant access to a variety of exam-focused practice questions.

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Fundamentals of Investing, 13e (Smart)

Chapter 1 The Investment Environment

1.1 Learning Goal 1

1) A non-interest bearing checking account is still considered an investment.

Answer: FALSE

Learning Outcome: F-12 Discuss the implications of systematic risk in financial markets and its
role in shaping investment choices

AACSB: 3 Analytical thinking

Question Status: Previous Edition

Learning Goal: Learning Goal 1

2) Land and buildings are examples of real property investments.

Answer: TRUE

Learning Outcome: F-12 Discuss the implications of systematic risk in financial markets and its
role in shaping investment choices

AACSB: 3 Analytical thinking

Question Status: Previous Edition

Learning Goal: Learning Goal 1

3) Since 1900, the average return on stocks has exceeded the average return on savings
accounts by more than 6 percentage points.

Answer: TRUE

Learning Outcome: F-12 Discuss the implications of systematic risk in financial markets and its
role in shaping investment choices

AACSB: 3 Analytical thinking

Question Status: Previous Edition

Learning Goal: Learning Goal 1

4) A United States Savings Bond is an example of an investment as defined in the text.

Answer: TRUE

Learning Outcome: F-12 Discuss the implications of systematic risk in financial markets and its
role in shaping investment choices

AACSB: 3 Analytical thinking

Question Status: Previous Edition

Learning Goal: Learning Goal 1

5) Most sources of investment information are in print format, expensive, and difficult to
access.

Answer: FALSE

Learning Outcome: F-12 Discuss the implications of systematic risk in financial markets and its
role in shaping investment choices

AACSB: 3 Analytical thinking

Question Status: New Question

Learning Goal: Learning Goal 1

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