Which of the Following Assets Is the Most Liquid

question 4

Multiple Choice

Which of the following assets is the most liquid?

• A) money market mutual fund
• B) computer
• C) washing machine
• D) U.S. Treasury bond

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Definitions:

Short-term Memory

A temporary storage system in the brain capable of holding a small amount of information in an easily accessible state for a short period.

George Miller

A pioneering cognitive psychologist best known for his theory that the span of immediate memory and absolute judgment is limited to an average of seven items.

Magic Number

A concept in cognitive science referring to the limit of items an average human mind can hold in working memory, commonly thought to be seven plus or minus two.

Working Memory

An active system that processes the information in short-term memory.