Question

Andy keeps his savings in a money market mutual fund, Been keeps his invested in U.S....

Andy keeps his savings in a money market mutual fund, Been keeps his invested in U.S. savings bonds, and Charlie keeps his in a bank. Who is using direct finance?

-andy

=ben

-charlie

-all three

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Direct finance is a method of financing where borrowers borrow funds directly from the financial market without using third party service, such as financial intermediary.

Here, ben is using direct finance, he is directly investing for the u.s savings bond.

Answer is B, Ben

Add a comment
Know the answer?
Add Answer to:
Andy keeps his savings in a money market mutual fund, Been keeps his invested in U.S....
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Jake has $12,000 invested in Vanguard Money Market Mutual Fund for 65 days at a 7-day...

    Jake has $12,000 invested in Vanguard Money Market Mutual Fund for 65 days at a 7-day yield of 1.56%. How much interest will he receive in 65 days? A.           $22.87 B.           $33.34 C.           $44.56 D.           $12.44

  • 4 (a) Could a Money Market Mutual Fund (MMMF) be susceptible to something analogous to a...

    4 (a) Could a Money Market Mutual Fund (MMMF) be susceptible to something analogous to a traditional “bank run”? Explain why or why not. (b) Would a normal Mutual Fund (MF) be susceptible to something like a traditional “bank run”? Explain why or why not.

  • ANSWER ALL. fiund is considering three mutual funds. The first is a stock fund, the second is money market fund yielding 1%. The probability a bond fund, and the third is a Exsciod Retcn 10% 5% 12...

    ANSWER ALL. fiund is considering three mutual funds. The first is a stock fund, the second is money market fund yielding 1%. The probability a bond fund, and the third is a Exsciod Retcn 10% 5% 12% Stock Fund (S) Bond Fund (B) The correlation between the fund returns is 0.10 (ie. negative). 30. Calculate the wcights on socks (mu) and bonds (m) associated with the Minimum b, (w-74% , w -26%) d. (we-28%, w-72%) the expected return for a...

  • A mutual fund company offers its customers a variety of funds: a money-market fund, three different...

    A mutual fund company offers its customers a variety of funds: a money-market fund, three different bond funds (short, intermediate, and long-term), two stock funds (moderate and high-risk), and a balanced fund. Among customers who own shares in just one fund, the percentages of customers in the different funds are as follows. Money-market 24% Short bond 14%Intermediate bond 7% Long boncd 5%High-risk stock 18%Moderate-risk stock 25% Balanced 7% A customer who owns shares in just one fund is randomly selected. (a) What is the probability that...

  • A mutual fund company offers its customers a variety of funds: a money-market fund, three different...

    A mutual fund company offers its customers a variety of funds: a money-market fund, three different bond funds (short, intermediate, and long-term), two stock funds (moderate and high-risk), and a balanced fund. Among customers who own shares in just one fund, the percentages of customers in the different funds are as follows. Money-market 22%    High-risk stock 16% Short bond 12%    Moderate-risk stock   25% Intermediate bond   5%    Balanced 15% Long bond 5%                A customer who...

  • Andy Lancaster works as a fixed income analyst in Brandy mutual fund that invests in both...

    Andy Lancaster works as a fixed income analyst in Brandy mutual fund that invests in both equities and fixed income securities. His supervisor Tim Howard requires him to prepare his expectations regarding the yield curve. He prepared a memo stating that the 1-year interest rate in UK is expected to remain stable at its current level of 3.25%. Andy also prepared the yield curve, which is derived from the spot rates on UK Treasury securities. His yield curve shows the...

  • The Aqua Liquid Assets Money Market Mutual Fund has a NAV of $1 per share. During...

    The Aqua Liquid Assets Money Market Mutual Fund has a NAV of $1 per share. During the year, the assets held by this fund appreciated by 1.6 percent. If you had invested $40,000 in this fund at the start of the year, how many shares would you own at the end of the year? What will the NAV of this fund be at the end of the year? Final share? Net Asset Value?

  • A pension fund manager is considering three mutual funds. The first is a stock fund, the...

    A pension fund manager is considering three mutual funds. The first is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill money market fund that yields a sure rate of 4.0%. The probability distributions of the risky funds are:    Expected Return STD DEV. Stock Fund (S)            10%                 32% Bond Fund (B)            7%                  24% The correlation between the fund returns is .1250. Suppose now that your portfolio must yield an...

  • A pension fund manager is considering three mutual funds. The first is a stock fund, the...

    A pension fund manager is considering three mutual funds. The first is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill money market fund that yields a rate of 5%. The probability distribution of the risky funds is as follows: Expected Return 20% Standard Deviation 35% 15 Stock fund (5) Bond fund (B) The correlation between the fund returns is 0.09. You require that your portfolio yield an expected return...

  • A pension fund manager is considering three mutual funds. The first is a stock fund, the...

    A pension fund manager is considering three mutual funds. The first is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill money market fund that yields a rate of 6%. The probability distribution of the risky funds is as follows: Expected Return 24% Standard Deviation 33% Stock fund (S) Bond fund (B) - 14 22 The correlation between the fund returns is 0.14. You require that your portfolio yield an...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT