Use the Following Statements to Answer This Question

question 24

Multiple Choice

Use the following statements to answer this question:
I.Credit default swaps (CDS) are a default premium on debt issue.
II.Credit default swaps (CDS) are insurance on the default of issuers of the debt.

• A)I is correct, II is incorrect
• B)I and II are correct
• C)I and II are incorrect
• D)I is incorrect, and II is correct

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Definitions:

Nowicki-Strickland

A psychological assessment tool used to measure an individual's perceived locus of control.

Locus of Control

A psychological concept that refers to how strongly people believe they have control over the situations and experiences that affect their lives.

Locus of Control

A mental principle suggesting the level of conviction individuals possess regarding their ability to influence the circumstances and events impacting their existence.

Extraverted

Characterized by an outward-focused orientation, enjoying social interactions, and drawing energy from being around other people.