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One Advantage of Using the Internet as an Advertising Medium

question 178

Multiple Choice

One advantage of using the Internet as an advertising medium is

Understand the benefits of adding international stocks to a U.S. stock portfolio for diversification.
Grasp the principles of effective international diversification.
Know the definitions and purposes of ADRs and WEBS.
Analyze the appropriateness of using the S&P 500 as a proxy for the global market portfolio.

Definitions:

Trading Securities

Financial instruments bought and held primarily for the purpose of selling them in the near term to profit from price changes.

Short-Term Investments

Financial assets that are easily convertible to cash usually within a year, intended for temporary holding.

Current Asset Section

Part of a company's balance sheet that lists assets likely to be converted into cash within one fiscal year or operating cycle.

Available-for-Sale Security

Financial assets such as stock or bonds that are not classified as held-to-maturity or trading securities and can be sold in the marketplace.

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