Which of the following statements is true?

A. Closed-end funds issue an unlimited number of shares as liabilities.
B. Open-end funds supply limited number of shares to investors
C. Open-end funds need not stand ready to buy back previously issued shares from investors at the current market price for the fund's shares.
D. At a given market price, the supply of open-end fund shares is perfectly inelastic.
E. The number of outstanding shares of a closed-ended fund may change when the issuing fund chooses to repurchase them.

Ans: E. The number of outstanding shares of a closed-ended fund may change when the issuing fund chooses to repurchase them.