Which of the Following Statements Is FALSE

question 30

Multiple Choice

Which of the following statements is FALSE?

• A)No arbitrage opportunities will exist until the underlying prices diverge by more than the amount of the transaction costs.
• B)Because you will generally pay a slightly lower price when you buy a security (the ask price)than you receive when you sell (the bid price)you will pay the bid-ask spread.
• C)The price of a security should equal the present value of its cash flows,up to the transaction costs of trading the security and the cash flows.
• D)In most markets,you must pay transactions costs to trade securities.

Grasp Kohlberg's stages of moral development and their application to ethical decision-making.

Acknowledge the influence of social and organizational factors on ethical behavior.

Understand the role of ethical frameworks in guiding personal and professional behavior.

Recognize rationalizations for unethical behavior and strategies for addressing such rationalizations.

---

Definitions:

Gilligan

Carol Gilligan is a psychologist known for her work in moral development and ethical relationships, emphasizing the difference in moral reasoning between males and females.

Kohlberg

A theorist known for his work in the development of moral reasoning.

Justice

The concept of moral rightness based on ethics, law, fairness, and equity that also includes the punishment of wrongs.

Ego Ideal

A component of the psyche, representing an individual's ideal self and the standards by which they measure their behavior.