Examlex
Which of the following statements about the legal environment in the United States is true?
Arbitrage
The practice of buying and selling equivalent assets in different markets to take advantage of a price difference.
Law of One Price
An economic theory that states that in efficient markets, identical goods must have only one price when prices are expressed in a common currency, absent any transaction costs and tariffs.
Treasury Bond
A long-term, interest-bearing security issued by the U.S. government.
STRIPPED Cash Flows
Cash flows that are separated from their financial instruments in order to be sold as individual securities.
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