Use the Following to Answer Questions

question 22

Multiple Choice

Use the following to answer questions .
Exhibit: Circular Flow Model
-(Exhibit: Circular Flow Model) The exhibit shows a simplified circular flow model where only consumption goods are being produced. The arrow marked "B" represents the flow of:

• A) factors of production.
• B) factor incomes.
• C) personal consumption expenditures.
• D) consumer goods and services.

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Definitions:

Put Option

A financial agreement that permits the holder to choose whether to sell a specific quantity of a principal asset at a fixed price during an established period, without any mandatory commitment.

Keebler, Inc.

An American cookie and former cracker manufacturer, known for its elfin characters and cookie varieties.

Common Stock

A type of security that signifies ownership in a corporation and represents a claim on part of the corporation's profits or losses.

Convertible Bond

A financial instrument that can be converted by the bondholder into a predetermined quantity of the issuer's company shares at certain intervals throughout the bond's life, generally at the bondholder's discretion.