Which of the Following Is True of Secondary Securities

question 87

Multiple Choice

Which of the following is true of secondary securities?

• A)They include equities, bonds, and other debt claims.
• B)They are backed by the real assets of corporations issuing them.
• C)They are securities that back primary securities.
• D)They are securities issued by FIs.
• E)They must be placed in a separate account on order for primary securities to be offered.

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Definitions:

Discriminate

to distinguish or differentiate between things or people based on certain criteria, which can be both positive, such as recognizing differences, and negative, leading to prejudice.

Saturation

The point at which a substance can no longer absorb or dissolve another substance, or in qualitative research, the stage at which no new information is obtained.

Chromatic

Relates to colors or the property of color, often used in the context of chromatic aberration in lenses or chromatic scales in music.

Achromatic

Refers to colors without hue, including black, white, and grays, or a visual perception that lacks color.