Which of the Following Statements About Financial Markets and Securities

question 43

Multiple Choice

Which of the following statements about financial markets and securities are true?

• A) Few common stocks are traded over-the-counter, although the over-the-counter markets have grown in recent years.
• B) A corporation acquires new funds only when its securities are sold in the primary market.
• C) Capital market securities are usually more widely traded than longer-term securities and so tend to be more liquid.
• D) All of the above are true.
• E) Only A and B of the above are true.

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Definitions:

Work Centres

Locations within a manufacturing facility where specific production activities or operations are carried out, often involving particular machines or groups of workers.

Alpha

In finance, the excess return of an investment relative to the return of a benchmark index. In statistics, the probability of a Type I error in hypothesis testing.

Beta

In finance, a measure of the volatility, or systematic risk, of a security or a portfolio in comparison to the market as a whole.

Earliest Due Date

A scheduling strategy that prioritizes tasks or orders based on their due dates, starting with the earliest.