Amount Ward is able to invest now | $365,000 | Future cost of interior condo | $550,000 | Future cost of gulf view condo | $750,000 | Yield on zero coupon bond with maturity of 13 years | 5% | Expected return on equity index | 9% | Time horizon in years | 13 |
While investigating the funding of Ward’s condo, Lee and Weatherford compare the lifestyle protection strategy to the fixed planning horizon method as investment policies. Lee states that if it is important to Ward to retain the possibility of buying the gulf view condo, she would be better off utilizing the fixed planning horizon method as her investment policy. Weatherford states that if she ends up buying the condo before retirement, she also would be better off using the fixed planning horizon method as her investment policy. Are Lee’s statements concerning the description of an exchange fund and identifying its disadvantage correct? Description
of an exchange fund Identifying its disadvantage
A) Correct Incorrect B) Incorrect Correct C) Correct Correct | 
发表于 2010-1-3 15:09
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