All of the Following Are Problems Cited by Warren Buffet

question 46

Multiple Choice

All of the following are problems cited by Warren Buffet as problems with derivatives not traded on exchanges EXCEPT

• A)they are thinly traded which makes it difficult to determine their value.
• B)firms do not set aside reserves against potential losses.
• C)they involve substantial counterparty risk.
• D)they were not flexible enough due to lack of standardization.

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Definitions:

Global Variable

A variable that is defined in a global scope, making it accessible from any part of the program, beyond just the block or function in which it was declared.

Void Method

A function in Java that does not return a value.

Action

In computing, specifically in GUI design, an action represents a functionality or operation that occurs usually in response to user input.

Precondition

A condition that must be true or satisfied before the execution of a procedure or operation to ensure its correctness and safety.