Stocks and Bonds Are Rarely Used as Collateral for Short-Term

question 154

True/False

Stocks and bonds are rarely used as collateral for short-term loans.

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Definitions:

Legally Binding

Legally binding refers to agreements or contracts that have legal force, meaning they are enforceable by law and must be complied with by the parties involved.

Statute Of Frauds

A legal requirement that certain contracts must be in writing to be enforceable.

Enforceable

Capable of being imposed or executed under law or legal authority.

In Writing

A contractual or legal requirement that stipulates information, agreements, or official statements must be documented in physical or electronic text form.