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Investment Strategies

Question 13 • * HSA 26-27 Economics

Investments with more liquidity include .

Answer
A
real estate
B
retirement plans
C
savings accounts

Explanation

Liquidity is how quickly and easily an investment can be converted to cash without losing much value. Money in a savings account is generally accessible quickly, while real estate can take time to sell and retirement-plan funds may have restrictions or penalties for early withdrawal. Therefore, savings accounts have more liquidity.

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