Little Jake Is Strongly Bonded to His Mother

question 60

Multiple Choice

Little Jake is strongly bonded to his mother. In fact, he has a difficult time letting her out of his sight. When his mother must leave him in daycare to go to work, the daycare provider calls because Jake is inconsolable. Since being placed in daycare, Jake has also refused to sleep alone. What disorder do Jake's symptoms suggest?

• A) Generalized anxiety disorder
• B) Post-traumatic stress disorder
• C) Separation anxiety disorder
• D) Obsessive-compulsive disorder

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Definitions:

SML Approach

The SML (Security Market Line) Approach is a relationship depicted in a graph that shows the expected return of a security against its risk, represented by beta.

Coupon Rate

The annual interest rate paid by a bond relative to its face or par value, which the bondholder receives.

Preferred Stock

A class of ownership in a corporation that has a higher claim on its assets and earnings than common stock, typically with fixed dividends.

Tax Considerations

The factors concerning the tax implications of any financial decision, investment strategy, or transaction, which can affect the overall benefit or cost to an individual or business.