QUESTIONS 12 AND 13 RELATE TO CATHERINE MARCO. A TOTAL OF 35 MINUTES I...

2.

“Because of the changing inflationary environment, we should recommend that

our clients reduce their current exposures to international equities relative to

domestic equities.”

B. Evaluate whether each of Marco’s two recommendations is appropriate or inappropriate,

if the inflation rate increases. If inappropriate, justify with one reason why the

recommendation is inappropriate.

Answer Question 13-B in the Template provided on page 86.

(4 minutes)

Answer Question 13 on This Page

Template for Question 13-A

Judge whether

each of Marco’s

two statements is

If incorrect, give one reason why the

Marco’s two statements

correct or

statement is incorrect

incorrect

(circle one for

each statement)