John and Susan Smith are in their mid 30s and have two children, a 4-year-old and a 2-year-old. Both John and Susan work and do not currently need additional income. They have determined they want to conservatively invest so that they will have funds for their childrens' college in about 12-15 years. Which of the following investments would best meet their goal? A) Common Stocks.B) Laddered Treasury Notes.C) Laddered Zero-Coupon Bonds.D) Preferred Stocks.

Respuesta :

Answer:

C)

Explanation:

Based on the information provided within the question it can be said that from the available choices the best option would be Laddered Zero-Coupon Bonds. Mainly due to the fact that they offer various different maturities during the years that John and Susan's children will be partaking college. Unlike T-Notes which only offer maturities of up to 10 years not 12-15 years.