On an open-end mutual fund, the number of shares outstanding ______ and shares are usually purchased ______.

A. is fixed; direct from the fund
B. fluctuates; at the stock exchange
C. fluctuates; direct from the fund

Correct Answer: C

An open-end investment fund stands ready at all times to sell or redeem shares from stockholders. There is no limit to the number of shares. Technically, a mutual fund is considered to be an open-end investment fund.