Which One of the Following Best Explains Why the Articles

question 6

Multiple Choice

Which one of the following best explains why the Articles of Confederation purposely created a weak national government?

• A)The Articles were based on a theory of state sovereignty.
• B)The Articles were intended to not offend Parliament and King George III.
• C)The Articles separated power into three distinct branches: executive,legislative,judicial.
• D)The Articles were actually intended to create a very powerful central government.
• E)The Articles intended for a strong executive branch but weak judicial and legislative branches.

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Definitions:

Margin

Describes securities purchased with money borrowed from a broker. Current maximum allowed margin on stock purchases is 50%.

Sell the Stock

An action where an investor disposes of their ownership in a corporation through the sale of its shares.

Maintenance Margin

The minimum equity amount that must be maintained in a margin account after a purchase has been made, to cover the risk of the investment.

Margin Call

A demand by a broker that an investor deposit further cash or securities to cover possible losses.