D'Jeanea inherited money from her grandparents in 2007 and invested it in the stock market. In 2008 the market dropped drastically. During the recession that followed, her portfolio lost thousands of dollars in value even though all of the companies she invested in remained solvent. D'Jeanea left her money in the market and kept it invested in the same companies as 2007. What is the most likely state of her portfolio today?

A. It has most likely gained value due to the uptick in the business cycle and economic growth experienced since 2011 and it is no doubt worth as much or more than it was worth in 2007.
B. It has continued to lose value.
C. It has grown then faltered and decreased in value due to the recovery and is most likely worth the same or less than it was worth in 2007.
D. Since an economic recovery generally lasts an average of 24 months, her portfolio gains in value and is currently on the down-turn as the economy enters another downward cycle.


Answer: A

Business

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