Use the Following Statements to Answer This Question

question 3

Multiple Choice

Use the following statements to answer this question:

• A) I is correct, II is incorrect
• B) I and II are correct
• C) I and II are incorrect
• D) I is incorrect, and II is correct
• I.Credit default swaps (CDS)is a default premium on debt issue.
• II.Credit default swaps (CDS)are insurance on the default of issuers of the debt.

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Definitions:

Taste Constancy

The perception that the flavor of a food item remains consistent despite changes in the environment or context.

Proximal Stimulus

The stimulus registered by the sensory receptors, e.g., the pattern of light falling on the retina, as opposed to the actual object in the environment.

Just Noticeable Difference

The minimal change in a stimulus that can just barely be detected by an organism.

Decibels

A unit of measurement for the intensity of sound, reflecting the relative loudness of sounds as perceived by the human ear.