What is the term for buying several different kinds of investments rather than just one?

A) Spreading
B) Shorting
C) Margin buying
D) Diversification
E) Management


Answer: D
Explanation: D) Diversification means buying several different kinds of investments rather than just one. The risk of loss is reduced by spreading the investment across stocks.

Business

You might also like to view...

Delta Inc. is a large organization that believes in serving the community it operates in. The organization conducts several campaigns about health awareness and also provides donations to nonprofit organizations working on such causes

Delta is illustrating__________. Fill in the blanks with correct word.

Business

Refer to Table 1-1. At a market price of $1,800, there will be

A) neither a surplus nor a shortage of computers as the market is in equilibrium at this price. B) a surplus or a shortage of 2,000 computers. C) a shortage of 2,000 computers. D) a surplus of 2,000 computers.

Business

A company usually uses a(n) ________ to store customer information and track inventory

(a) ASP. (b) database. (c) shopping cart. (d) Web page.

Business

__________ is the relatively stable set of psychological attributes that distinguish one person from another

Fill in the blank(s) with correct word

Business