An ECN Is Best Described As

question 1

Multiple Choice

An ECN is best described as:

• A)an electronic network which transmits orders directly to the floor of the NYSE.
• B)the network used in the primary market for selling newly issued shares.
• C)the international trading network of the NYSE.
• D)a website that allows individual investors to trade directly with one another.
• E)a computerized network used by independent brokers.

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Definitions:

Noncash Expense

Expenses that do not directly result in a physical outflow of cash but are recorded in the accounting records, such as depreciation.

Depreciation

The methodical distribution of the expense of a physical asset across its lifespan.

Plant Assets

Tangible assets used in a company's operations that have a useful life of more than one year.

Notes Payable

A written agreement to pay a specified amount, usually including interest, by a certain date.