​ Which of the Following Statements Is CORRECT

question 12

Multiple Choice

​ Which of the following statements is CORRECT?

• A) ​If Apple issues additional shares of common stock through an investment banker, this would be a secondary market transaction.
• B) ​If you purchased 100 shares of Apple stock from your sister-in-law, this would be an example of a primary market transaction.
• C) ​The IPO market is a subset of the secondary market.
• D) ​Only institutions, and not individuals, can participate in derivatives market transactions.
• E) ​As they are generally defined, money market transactions involve debt securities with maturities of less than one year.

---

Definitions:

Articles of Confederation

The first written constitution of the United States, ratified in 1781, which established a weak central government before being replaced by the U.S. Constitution.

Star Spangled Banner

The national anthem of the United States, written by Francis Scott Key.

Bill of Rights

The first ten amendments to the United States Constitution, guaranteeing essential rights and freedoms to American citizens.

Daniel Shays

An American soldier and leader known for leading Shays' Rebellion (1786-87), a series of protests by American farmers against state and local enforcement of tax collections.