The Advantage of Electronic Communication Networks (ECNs) Is That They

question 101

Multiple Choice

The advantage of electronic communication networks (ECNs) is that they:

• A) allow traders to contact the market makers used in the over-the-counter market.
• B) help firms identify and contact accredited investors.
• C) guarantee the sale of all the securities of listed firms.
• D) make it possible for investors to trade securities after the U.S. exchanges are closed.

---

Definitions:

Rental Payments

Periodic payments made by a lessee to a lessor for the use of a property, space, or equipment.

Landlord

An individual or entity that owns real estate which is rented or leased to another party, known as a tenant.

Prepaid Expense

Costs that have been paid in advance for goods or services to be received in the future, recognized as assets on the balance sheet until consumed.

Balance Sheet

A balance sheet represents a financial report detailing a company's assets, liabilities, and owners' equity at a given moment.