Transaction Cost of Trading of Financial Instruments in Centralized Market

question 14

Multiple Choice

Transaction cost of trading of financial instruments in centralized market is classified as

• A)flexible costs
• B)low transaction costs
• C)high transaction costs
• D)constant costs

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Definitions:

Average Accounting Return

A method of evaluating an investment's profitability by dividing the average net income by the average book value.

Project's Assets

Resources owned by a project that have economic value and can contribute to the project's financial success.

Net Income

The net income a company earns once all expenses and taxes are subtracted from the total revenue.