You See an Advertisement on Television for a New Burger

question 34

Multiple Choice

You see an advertisement on television for a new burger at McDonald's.The next day,you are riding by McDonald's and decide to drive in and give it a try.This would be called a:

• A) long-term deliberate media effect.
• B) short-term unintended media effect.
• C) long-term unintended media effect.
• D) short-term deliberate media effect.

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Definitions:

Margin

The practice of buying an asset by using funds borrowed from a broker, often used in stock trading to leverage investments.

Futures Contract

A standardized legal agreement to buy or sell a specific commodity or financial instrument at a predetermined price at a specified time in the future.

Zero Coupon Interest Rate

An interest rate that applies to a bond or loan that does not pay periodic interest, only paying the face value at maturity.

Arbitrage Profit

The profit realized from exploiting the price difference of the same or similar financial instruments on different markets or in different forms.