Which One of the Following Statements Concerning Money Market Securities

question 104

Multiple Choice

Which one of the following statements concerning money market securities is correct?

• A)Commercial paper is highly marketable.
• B)All T-bills are issued with 90-day maturities.
• C)A certificate of deposit is a short-term loan to the government.
• D)Any CD with a face amount of $10,000 or more is classified as a jumbo CD.
• E)Money market preferred is less volatile than ordinary preferred.

---

Definitions:

Profit-Maximizing Level

The point at which a company can achieve the highest profit by adjusting production levels, where marginal revenue equals marginal cost.

Total Output

The total quantity of goods or services produced by an economy, firm, or manufacturing process within a specific time period.

Units

Basic quantitative measures used in economics and commerce to count, describe, and measure the amount of a product or commodity.

Least-Cost Combination

is an economic principle that firms achieve by using the mix of inputs that minimize their costs while producing a given level of output.