Which of the Following Is Included in M2 but Not

question 188

Multiple Choice

Which of the following is included in M2 but not in M1+?

• A) demand deposits
• B) corporate bonds
• C) currency
• D) term deposits

---

Definitions:

Bonds

A fixed-income investment representing a loan made by an investor to a borrower, usually corporate or governmental.

Trading Investments

Securities bought and held primarily for sale in the near term to generate income on short-term price differences.

Bonds Payable

Bonds payable are long-term liabilities representing money a company must pay back to bondholders by a certain date, including the principal and sometimes interest payments.

Long-Term Investments

Investments that a company intends to hold for more than one year, including stocks, bonds, real estate, and other financial assets.