Which One of the Following Would Be Considered a Risk-Free

question 54

Multiple Choice

Which one of the following would be considered a risk-free asset in real terms as opposed to nominal?

• A) Money market fund
• B) U.S. T-bill
• C) Short term corporate bonds
• D) U.S. T-bill whose return was indexed to inflation

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Definitions:

Meta-Communication

Communication about communication, which involves discussing or analyzing the way in which information is exchanged, including tone, non-verbal cues, and implicit messages.

Face-Saving

A social or psychological strategy employed to maintain dignity, avoid embarrassment, or preserve reputation after a mistake or failure.

Noise

In communication, unwanted or disruptive sounds that interfere with the reception of the message being sent.

Media Richness

The ability of a communication medium to effectively convey information and promote understanding.