Which of the Following Statements About Financial Markets and Securities

question 125

Multiple Choice

Which of the following statements about financial markets and securities is true?

• A) A bond is a long-term security that promises to make periodic payments called dividends to the firm's residual claimants.
• B) A debt instrument is intermediate term if its maturity is less than one year.
• C) A debt instrument is intermediate term if its maturity is ten years or longer.
• D) The maturity of a debt instrument is the number of years (term) to that instrument's expiration date.

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Definitions:

Electrical Current

A flow of electric charge, carried by electrons or ions, through a conductor or space.

Increase Vulnerability

A condition or situation that heightens the susceptibility of an individual or group to harm or adverse effects.

Cancer

A group of diseases characterized by the uncontrolled growth and spread of abnormal cells in the body.

Positron Emission Tomography

An imaging test that uses a radioactive substance to visualize and measure metabolic processes in the body, commonly used in medical diagnoses and research.