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9 October, 15:52

Drag each tile to the correct box. Match each investment example to the type of risk involved with it.

credit risk

inflationary risk

market risk

reinvestment risk

George purchased a US Treasury bond that matures in five years. He plans to purchase a newly issued Treasury bond and hopes it will be just as valuable.

arrowRight

Claretta purchased a Treasury bond that pays 1% interest when the price of goods and services are rising by 2%.

arrowRight

Corbin purchased a corporate bond with a poor rating and a risk of default.

arrowRight

Beth bought a company's stock in hopes of a quick profit, but the stock price has been very unpredictable.

arrowRight

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Answers (1)
  1. 9 October, 16:50
    0
    George purchased a US Treasury bond that matures in five years. He plans to purchase a newly issued Treasury bond and hopes it will be just as valuable. - credit risk

    Claretta purchased a Treasury bond that pays 1% interest when the price of goods and services are rising by 2%. - Inflationary risk

    Corbin purchased a corporate bond with a poor rating and a risk of default. - market risk

    Beth bought a company's stock in hopes of a quick profit, but the stock price has been very unpredictable. - reinvestment risk
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