If stock markets are truly efficient, it implies that

a.

professional money managers should outperform individual investors.

b.

it will not be easy to find undervalued stocks.

c.

technical analysis should be more effective than fundamental analysis.

d.

stock purchase and sell orders can always be completed within a number of seconds.

An HDTV was purchased for $6500 and is now three years old. If it is stolen and it is deemed to have a life of five years, the insurance company will settle for $3000 under a cash value policy.

Select one:

True

False

If an investor was concerned about the tax efficiency of their mutual fund, which type of mutual funds should they buy?

a.

Open-end mutual funds

b.

Close-end mutual funds

c.

Front-end load mutual funds

d.

Back-end load mutual funds