____________ Are Debt Instruments or Securities with Maturities of One

question 78

Multiple Choice

____________ are debt instruments or securities with maturities of one year or less and have low default risk and high liquidity.

• A)capital market securities
• B)money market securities
• C)derivative securities
• D)all of the above
• E)none of the above

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Definitions:

Agency Contract

A legal agreement where one party, the agent, acts on behalf of another party, the principal, in business transactions.

More Than One Year

Typically refers to obligations or assets that have a life or duration longer than one year from the current date.

Agency Terminates

The conclusion or end of an agency relationship between a principal and agent, which can occur through mutual agreement, completion of the task, or by other legal means.

Disclose Information

The act of making information known or revealed, often in a formal or official capacity.