Which of the Following Helped to Increase Indian Ocean Trade

question 59

Multiple Choice

Which of the following helped to increase Indian Ocean trade between 1200 and 1500?

• A) The collapse of the Mongol Empire, which disrupted the overland trade routes.
• B) Increased demand for luxury goods such as jewels, fine textiles, and precious metals.
• C) The rising prosperity of Asian, European, and African states, which stimulated expansion.
• D) The construction of larger ships, making shipping cargo more profitable.
• E) All of the above.

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Definitions:

Bond Rating

A rating assigned to a bond that indicates its credit quality. The rating reflects the issuer's ability to repay the bond's principal and interest.

After-Tax Cost of Debt

The net cost of debt to a company after accounting for the tax deductions on interest payments, effectively lowering the interest expense.

Bond Prices

The market value of a bond, which can fluctuate based on interest rates, credit quality of the issuer, and other factors.

Security Market Line

A representation in the Capital Asset Pricing Model (CAPM) showing the relationship between the expected return of a security and its risk, measured by beta.