After 36 years with the same engineering firm, Leonard retired last mo

QUESTION

After 36 years with the same engineering firm, Leonard retired last month. After making sure his investments grew to a substantial nest egg, now he needs to shift strategies so his savings provide living expenses.

What type of fund should Leonard shift his retirement money into?
A) money market
B) balanced
C) index
D) growth
E) income

ANSWER

Answer: E
Explanation: E) Now that Leonard has stopped working, he needs his investments to begin providing income to live on. Income funds invest in securities that pay high interest and dividends.