AnswersEA Academy Civics 9Saving and Investing

Saving and Investing Answers

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1
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Investments with higher rates of return

A
are not affected by interest.
B
bring in more money.
C
guarantee regular income.
D
tend to be lower risk.
2
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Investments with higher rates of return

A
are not affected by interest.
B
bring in more money.
C
guarantee regular income.
D
tend to be lower risk.
3

Question text not available

Answer not available
4

Risk is the chance that an investment will

A
fail to reach the expected rate of return.
B
guarantee the expected rate of return.
C
have a rate of return much higher than expected.
D
provide other opportunities for the investor.
5

Question text not available

Answer not available
6

What should Jeremy think about when deciding how to set up his 401(k) plan? Choose three correct answers.

A
which long-term investments to make
B
which short-term investments to make
C
how much money he can afford to put in
D
how much risk he wants to take
E
how he can invest the lowest amount possible
7

Mira has been given $1,000 to invest. She will need to use the money in one year, and she is worried that it will lose value. Which investment best fits Mira’s goals?

A
a certificate of deposit
B
a personal loan
C
a stock
D
a 10-year bond
8

Which statements best describe the investments Amara is considering? Choose two correct answers.

A
Both investments probably involve the same amount of risk.
B
Investment A probably involves less risk.
C
Investment B has a higher expected rate of return.
D
Neither investment involves any risk.

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