Which of the Following Statements Best Describes Financial Markets

question 23

Multiple Choice

Which of the following statements best describes financial markets?

• A)Capital market transactions involve only the purchase and sale of equity securities, i.e., common stocks.
• B)If an investor sells shares of stock through a broker, then this would be an indirect finance transaction.
• C)Money market mutual funds have a high degree of default risk.
• D)Commercial papers have maturities longer than one year.

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