Which of the Following Statements Is CORRECT

question 38

Multiple Choice

Which of the following statements is CORRECT?

• A) Capital market instruments include both long-term debt and common stocks.
• B) An example of a primary market transaction would be your uncle transferring 100 shares of Wal-Mart stock to you as a birthday gift.
• C) The NYSE does not exist as a physical location; rather, it represents a loose collection of dealers who trade stocks electronically.
• D) If your uncle in New York sold 100 shares of Microsoft through his broker to an investor in Los Angeles, this would be a primary market transaction.
• E) While the two frequently perform similar functions, investment banks generally specialize in lending money, whereas commercial banks generally help companies raise large blocks of capital from investors.

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Definitions:

Marketing Mix

A blend of factors that can be controlled by a company to influence consumers to purchase its products. These factors typically include product, price, place, and promotion.

Logistical Services

Services that facilitate the movement, storage, and processing of goods throughout the supply chain, including transportation, warehousing, and customs brokerage.

Customer Service

The help and service offered by a business to individuals who purchase or utilize its products or services.

Logistics Costs

The total expenses incurred in moving goods from their point of origin to the final consumer, including transportation, warehousing, and handling fees.