Question

In what way are mutual funds similar to common stocks

A) Investors get to vote a major decision for all really good investment

B) Mutual funds offer your risk-free investment opportunity

C) investing in a mutual fund gives the investor a Proportionate ownership in that fun

Answer 1

Investing in a mutual fund gives the investor a proportionate ownership in that fund.

Step-by-step explanation:

I got it right on the test nun to worry about.

Answer 2

Option C defines the similarity between the mutual funds and common stocks

Step-by-step explanation:

Common stocks is just like buying shares of a company and having certain % of share in that fund.

Like wise mutual funds are too equivalent to buying shares or stocks but not individually but with other people having proportionate sharing governed by the amount invested by each individual.

Hence, option C is correct