Securities Bought and Held Primarily for Sale in the near Term

question 146

Multiple Choice

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

• A) trading securities.
• B) available-for-sale securities.
• C) never-sell securities.
• D) held-to-maturity securities.

---

Definitions:

Consumer Surplus

The difference between the total amount that consumers are willing and able to pay for a good or service and the total amount that they actually pay.

Import Quota

A government-imposed limit on the quantity or monetary value of a certain good that can be imported into the country.

World Price

The international market price of a good or service, determined through the global supply and demand.

Tariff Revenue

Income generated by the government from taxes imposed on imported goods, used as a tool for economic policy.