Choose wisely. There is only one correct answer to each question.
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1.
Brokers may also be known as _______.
Any of the other titles. They all refer to brokers.
2.
You will make more money using a full-service broker because of their knowledge and expertise than you would by going it alone.
False. While brokers may have more financial education and expertise, they are not clairvoyant. You have as good a chance at making money investing by doing your own homework carefully.
3.
The following statements are true of all brokers, except for _______.
They provide advice on stock trades. While this is a service offered by full-service brokers, discount brokers provide only transaction services.
4.
A brokerage may be able to offer checking and credit cards.
True. Brokerage firms can offer asset management accounts that combine broker services with banking services such as checking and credit cards.
5.
Brokers are allowed to give limited tax advice.
True. Brokers can advise you on investments that will limit your exposure to taxes.