Which of the following is NOT an investment as defined in the text?
A) a certificate of deposit issued by a bank
B) a new automobile
C) a United States Saving Bond
D) a mutual fund held in a retirement account

Question

Quizplus · Accepted Answer

Investments, as defined in financial contexts, typically refer to assets purchased with the expectation that they will generate income or appreciate in value over time. A new automobile is generally not considered an investment in this sense because it depreciates in value quickly after purchase, unlike certificates of deposit, savings bonds, or mutual funds, which are intended to grow in value or generate income.

Which of the Following Is NOT an Investment as Defined