Which of the Following Is the Best Way to Build

question 52

Multiple Choice

Which of the following is the best way to build a strong credit history?

• A) Use a debit card on a regular basis
• B) Regularly use credit cards to buy on impulse
• C) Consistently make payments on time
• D) Use one form of credit to make payments on other debt
• E) Obtain a loan and pay it off in as few payments as possible

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Definitions:

Marketable Securities

Financial instruments and assets that can easily be converted into cash without significantly affecting their market price.

Investment Bankers

Investment bankers are financial specialists who assist corporations and governments in raising capital, advising on mergers and acquisitions, and offering investment advice.

Stock Issues

The process by which companies allot new shares to shareholders or the public to raise capital.

Bond Issues

The act of distributing new bonds to investors, typically done by corporations or governments to raise capital.