When Discussing the Relationship Between Short-Term and Long-Term Memory, the Authors

question 623

Multiple Choice

When discussing the relationship between short-term and long-term memory, the authors of your textbook use the analogy of a warehouse with filing cabinets and a desk. As information enters the warehouse, it is first placed on the desk. Because the desk is small, it must be quickly cleared off to make room for new information. While unimportant items are simply tossed away, personally or culturally meaningful information is placed in the files, which represent

• A)working memory.
• B)sensory memory.
• C)short-term memory.
• D)long-term memory.

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Definitions:

Par Value

The face value of a bond or the stock value stated in the corporate charter, not necessarily reflecting the market value.

Coupon Bond

A type of bond that offers periodic interest payments to its holder, typically paid semi-annually, until maturity.

Duration

Duration is a measure of the sensitivity of the price of a financial asset to a change in interest rates, often used in the context of bonds to describe how price is affected by changes in rates.

Annual Coupon

The yearly interest payment paid to bondholders, typically expressed as a fixed percentage of the bond's face value.