Part 1: Short Answer Questions 1. Complete the table to identify which of these options are interest-bearing accounts and which are investments. Interest-bearing Investments Option Savings account Stocks Certificate of deposit Bonds Money market account Checking account Mutual funds Individual retirement account (IRA) 2. Pardis recently deposited $5,000 in a savings account that pays a return of 2 percent per year. Explain why her investment will grow over the years. What opposing force will impact the value of her investment? 3. What is the difference between a low-risk investment and a high-risk investment? Write a three- to a four-sentence paragraph explaining the difference between the two and giving two examples of each. 4. What are the pros and cons of owning stocks and bonds? Identify two pros and two cons of owning stocks and two pros and two cons of owning bonds. 5. Heayon has recently retired after years of hard work and smart planning. She has retirement accounts from four different sources: the government, a former employer who matched her retirement contributions, a former employer who guaranteed her a certain amount of money at her retirement, and a retirement account she set up herself. Write a three-to four-sentence paragraph identifying each of these account types and how they benefit Heayon. Part 2: Critical Thinking Question 6. Ben has earned a good salary for many years and is ready to start investing. He is in his mid-50s and is interested in the bond market. He would like to make strong returns on his investments in a short amount of time. Describe in detail all the steps Ben should take when investing his money in the bond market