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Which of the following statements is true?
Gold
A precious metal that is used as an investment, a store of value, and in jewelry, due to its scarcity, durability, and aesthetic appeal.
Credit Default Swap
A financial derivative allowing an investor to "swap" or offset their credit risk with that of another party.
Financial Risk
Financial risk encompasses the possible loss of financial assets, liabilities, or financial failure due to variables like currency fluctuations, interest rate changes, and funding challenges.
Capital Structure
The mix of debt and equity maintained by a firm.
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