Which of the Following Can Be Described as Involving Indirect

question 101

Multiple Choice

Which of the following can be described as involving indirect finance?

• A) You make a loan to your neighbor.
• B) You buy shares in a mutual fund.
• C) You buy a U.S. Treasury bill from the U.S. Treasury.
• D) A corporation buys a short-term security issued by another corporation in the primary market.

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Definitions:

Federal Trade Commission

An independent agency of the United States government, established to prevent unfair business practices and promote consumer protection.

Environmental Protection Agency

A U.S. federal agency responsible for the protection of human health and the environment by writing and enforcing regulations based on laws passed by Congress.

Fuel Economy

A measure of how far a vehicle can travel on a specific amount of fuel, reflecting the efficiency of the vehicle’s fuel consumption.

Unsolicited Credit Card

A credit card mailed to consumers without their prior request or consent, often regulated by consumer protection laws.