Short-Term Investments May Be Divided into Held-To-Maturity Securities, Trading Securities

question 146

True/False

Short-term investments may be divided into held-to-maturity securities, trading securities and available-for-sale securities.

---

Definitions:

Quantity of Money

The total amount of money available in an economy, including currency and balances held in checking and savings accounts.

Prices Fall

A situation where the amount of money required to purchase goods or services decreases, typically due to reduced demand or increased supply.

Quantity Theory

An economic theory that relates the level of money supply in an economy to the level of prices and the volume of production.

Hyperinflations

Extremely high and typically accelerating inflation rates, eroding the real value of the local currency and leading to a loss of confidence in the currency.