The difference between an investment and speculation is that an investment ________ while speculation depends solely on ________ to produce results.
A)costs less;the economic conditions
B)generates a return;supply and demand
C)costs less;generating a return
D)depends on supply and demand;economic conditions
E)depends on supply and demand;generating a return

Question

Quizplus · Accepted Answer

An investment implies risking capital with the expectation of generating a return, while speculation depends solely on supply and demand to produce results. Therefore, choice B is the best option as it correctly states that an investment generates a return, while speculation relies on supply and demand.

The Difference Between an Investment and Speculation Is That an Investment