BUSN 380 STUDY Future Starts Here/busn380study.com BUSN 380 STUDY Future Starts Here/busn380study.com | Page 65

Investment goals can be different for each individual. Because investment objectives deal with the future, it is useful to plan more than 5 years in the future. A long-term investment objective involves a time period of 2 years or less. Question 2. Question : (TCO 5) Good advice for a potential investor starting an investment program includes all but which of the statements below? Work to balance your budget. Increase credit purchases and make installment payments in order to increase cash available for investing. Establish specific and measurable investment goals. Start an emergency fund. Establish a line of credit. Question 3. Question : (TCO 5) You currently hold a $1,000 corporate bond; however, if interest rates in the overall economy increase, which of the following is most likely to be the market value of this bond? $900 $1,100 $1,000 The value of the bond will not change.