Answered

Find the best solutions to your questions at Westonci.ca, the premier Q&A platform with a community of knowledgeable experts. Explore thousands of questions and answers from a knowledgeable community of experts ready to help you find solutions. Explore comprehensive solutions to your questions from knowledgeable professionals across various fields on our platform.

An investor plans to fund the college education for her newborn child by purchasing $5,000 of investment-grade bonds on an annual basis. She is most likely using A) the 529 plan strategy. B) the bullet strategy. C) the laddering strategy. D) the barbell strategy.

Sagot :

Answer:

Option B (the bullet strategy) is the correct alternative.

Explanation:

  • A business model under which a business plan has always been assembled in such a way that perhaps the maturity of the latter's financial instruments would be highly concentrated in the same moment on either the equity market.
  • A bullet strategy could become beneficial unless the price level increases for moderate bonds have become greater than those of longer or shorter lending rates.

All those other alternatives provided are not related to the case in question. So the alternative above is accurate.

We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Thank you for choosing our platform. We're dedicated to providing the best answers for all your questions. Visit us again. Your questions are important to us at Westonci.ca. Visit again for expert answers and reliable information.