4. TRUE FALSE (Each answer worth 4 points) 1._ Common stock is an instrument issued by a firm to raise funds that represents partial ownership in that firm. 2._Individual investors invest a large portion of money earned from their jobs. 3.__ A full service broker can provide you with investment advice. Investors should never purchase stock on margin, meaning that a portion of their purchase is funded with borrowed money. 5.__ A common measure of inflation is the consumer price index (CPI) which represents prices of consumer products, 6. Life insurance should be purchased if you have a young family you wish to protect in case of your untimely death. 7._ Health insurance contracts should specify if the insurance company can cancel the policy at any time. 8. Disability insurance protects my income if I become disabled. 9. _The medicare program provides health insurance to individuals who are 55 years of age or older. 10. __Term life insurance which is provided over a specified time period is always the best value for the individual. 11. Life insurance policies almost always contain a requirement to name a beneficiary. (11 is extra credit- 4 points)