WorksheetsREV211_INVESTMENT BASICS
Total questions: 10
Worksheet time: 5mins
Investment is most simply defined as the ______________ of capital today for expected future returns.
Diversion
Foregoing
Insurance
Recycling
Which item is not listed as a key element of investment?
Capital
Return
Time frame
Tax rate
A time frame less than a year refers to:
Long term
Short term
Infinite horizon
Perpetual term
If an investor puts in RM10,000 and ends with RM11,850, the return equals:
RM850
RM1,850
RM10,000
RM11,850
Which is an example of income return?
Resale profit on a house
Dividend from shares
Increase in land value held long-term
Capital gain on unit trust sold
Capital gain is realised when:
A bond is held to maturity
Interest is credited monthly
The asset is disposed of at a profit
A tenant pays rent
A unit trust most accurately:
Guarantees principal and return
Pool investors' money, managed professionally, invests across securities
Is identical to a single company's stock
Holds only government bonds
A bond is best seen as:
Equity in a firm
A loan to the issuer with fixed face value and interest, redeemable at maturity
A claim on company profits only when profitable
A perpetual income stream with no maturity
In comparing property vs non-property, which attribute most directly captures why stocks/shares are easier to convert to cash than buildings?
Divisibility into smaller units
Security of income
Opportunity cost
Risk of loss
An investor wants security and regularity of income with stability and a maturity date. Which best fits the situation?
Growth stocks
Unit trusts invested in equities only
Government/corporate bonds
Speculative property flips
