What is the point at issue between Amatriya and Tatsuya?
A) Which investment strategy should Amatriya and Tatsuya use to manage their portfolio?
B) How much money do they need in their portfolio to support the post-retirement lifestyle they plan to have?
C) Can growth stocks increase in value more rapidly than blue-chip stocks?
D) Should they ask their broker to make the change in investment strategy now or in a few years?
E) Is the overall economy going to be strong or weak over the next ten years?
Answer: A
Explanation: A) Couples planning a retirement fund need to agree on whether it should be managed aggressively, conservatively, or in a balanced way. So Choice A is correct: The two need to choose a common investment approach. While Choice B is also crucial for them to determine, this is not at issue between the two. And while their answer to Choice E might help determine a strategy, this, likewise, is not the focus of their decision. Once they opt for a strategy, they then should resolve whether to make the change now or later (Choice D), but, again, this is not the immediate matter. Choice C is not relevant to their dilemma—growth stocks can also decrease in value more quickly.
You might also like to view...
When asking customers for feedback, use of open-ended questions is best
Indicate whether the statement is true or false
After determining its pricing objectives, what is the next logical step a firm should take in setting its pricing policy?
A) It should analyze its competitors' costs, prices, and offers. B) It should select its pricing method. C) It should select its final price. D) It should determine the demand for its product. E) It should estimate the cost of its product.
A contract asset
A) represents the seller's performance obligation. B) arises when a customer's payment of consideration occurs prior to the seller's performance under the contract. C) represents the seller's unconditional right to receive consideration from a customer. D) arises when the seller's right to consideration from a customer is conditional upon something other than the passage of time.
A formal audit is required to be conducted each _____________ for companies that are publicly traded.
a. Fiscal month b. Fiscal quarter c. Fiscal year d. Decade