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A Partner in a Trading Partnership, Such as an Accounting

question 47

True/False

A partner in a trading partnership, such as an accounting or other service firm, has no implied power to borrow money. In the latter case, such authority must be actual before the firm will be bound.


Definitions:

Portfolios

A portfolio containing various types of financial investments, including stocks, bonds, commodities, cash, cash equivalents, mutual funds, and ETFs.

Exposure

The degree to which an investment or portfolio is subject to various risks, such as market, credit, or operational risks.

Underlying Security

A stock, bond, currency, or commodity on which an option or futures contract is based.

Collar

An options strategy that brackets the value of a portfolio between two bounds.

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