A Spread of ____ Basis Points Is Equal to 0

question 88

Multiple Choice

A spread of ____ basis points is equal to 0.75 percent.

• A) 7,500
• B) 750
• C) 75
• D) 7.5
• E) 0.75

---

Definitions:

Short-term Financial Management

The practice of managing a company's financial activities that are expected to be resolved within a year.

Carrying Costs

The expenses incurred by holding inventory, including storage, insurance, and taxes, over a certain period.

Cash Cycle

A business concept that describes the process of converting resources into cash flows, from purchasing inventory to collecting revenue from customers.