Final answer:
Investment options are matched with the sources of income they provide: opening a CD account with interest income only, trading in bonds with capital gains and interest income, trading in company stocks with capital gains and dividends, and buying and selling properties with capital gains only.
Step-by-step explanation:
When considering saving for old age and private market options, people look for investment sources that can provide them a stable income over time. Different investment or savings options provide different sources of income, and it's essential to match each investment with the income sources it provides:
- B. Interest income only - opening a CD account
- D. Capital gains and interest income - trading in bonds
- C. Capital gains and dividends - trading in company stocks
- A. Capital gains only - buying and selling properties
Each option carries its own level of risk and potential return. Keeping this in mind helps investors choose where to allocate their funds for retirement while considering the trade-offs between risk and the potential rate of return.