The Focus on Personal Financetext discusses investment income, investment growth, and investment liquidity. What are the differences between these investment types?
Investment with investment income refers to the investment products in which investors shall get regular income from the investment. nature of income from investment would be either fixed or variable. for example Interest on bonds is a type of fixed income investment while investment in stock refers to variable income from investment.
Investment growth investment refers to the investment in those securities where prime objective of investment is to growth of invested funds and these investment focus on growth on investment value rather than on regular income
Investment liquidity refers to those types of investment in which liquidity is very high these are the investments which are easily liquidated and can be converted into cash. examples of such investments are short term marketable securities
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