ECON201 CCC Harold Washington Saving, Investment and the Financial System

timer Asked: Feb 19th, 2019
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Question Description

I need help with three questions. I have attached the work sheet

Name ECON 201 February 18, 2019 Module 6 Assignment CHPT 13-19 What is diversification? Does a stock holder get more diversification going from 1 to 10 stocks or going from 100 to 120 stocks? 1. What are the basic differences between bonds and stocks? 4. Identify each of the following acts as representing either saving or investment. a. Fred uses some of his income to buy government bonds. b. Julie takes some of her income and buys mutual funds. c. Alex purchases a new truck for his delivery business using borrowed funds. d. Elaine uses some of her income to buy stock in a major corporation. e. Henrietta hires a builder to construct a new building for her bicycle shop.

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School: Boston College

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Saving, Investment and the Financial System

Diversification- This is the reduction of risk realized by replacing a single risk...

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