(I)The Primary Issuers of Capital Market Securities Are Federal and Local

question 32

Multiple Choice

(I) The primary issuers of capital market securities are federal and local governments,and corporations.
(II) Governments never issue stock because they cannot sell ownership claims.

• A) (I) is true, (II) false.
• B) (I) is false, (II) true.
• C) Both are true.
• D) Both are false.

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Definitions:

NAICS

The North American Industry Classification System, a standard used by federal statistical agencies for classifying business establishments for statistical analysis.

Derived Demand

Demand for a factor of production or intermediate good that occurs as a result of the demand for another good or service.

Wood Pallets

Wood pallets are flat transport structures made of wood that support goods in a stable fashion while being lifted by a forklift, pallet jack, front loader, or other jacking device.

Raw and Semifinished

Materials or products that have undergone partial processing but are not yet complete products ready for sale to the end consumer.