Which of the Following Statements Is CORRECT

question 41

Multiple Choice

Which of the following statements is CORRECT?

• A) If General Electric were to issue new stock this year it would be considered a secondary market transaction since the company already
• Has stock outstanding.
• B) Capital market transactions only include preferred stock and common
• Stock transactions.
• C) The distinguishing feature between spot markets versus futures markets transactions is the maturity of the investments. That is, spot market transactions involve securities that have maturities of less than one year, whereas futures markets transactions involve
• Securities with maturities greater than one year.
• D) Both Nasdaq "dealers" and NYSE "specialists" hold inventories of
• Stocks.
• E) An electronic communications network (ECN) is a physical location
• Exchange.

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Definitions:

Railway Labor Act

A U.S. law aimed at preventing strikes and encouraging fair labor practices in the railway and airline industries.

Labor Relations

Labor relations refer to the dynamic between employers and employees specifically focusing on the negotiation and implementation of working conditions, wages, and grievances.

Airline Industry

The global sector involving the provision and management of air travel services, including passenger and cargo transportation.

Workers' Compensation

A system of insurance that provides financial and medical benefits to employees injured in the course of employment.