Which of the following is a CPI index category? A) Housing B) ...

[rayancarla1]

Which of the following is a CPI index category?
 A) Housing
  B) Recreation
  C) Food
  D) all of the above

Question 2

What are some of the differences between purchasing bonds and purchasing stocks?

[connor417]

Answer to Question 1

D

Answer to Question 2

When you buy a bond, the money invested must be repaid on the due date. Stock investments do not have to be repaid. A stockholder is an owner of the company, whereas a bond owner is considered a lender. Investors in bonds receive interest payments as income, but stockholders do not. They receive dividends, or shares of the company's profit. Investors in stocks run a higher risk of losing part or all of their investment. Bond holders will receive the par value of the bonds they purchased on the due date.