Question

7 Which of the following would you find in the money marke a Treasury bills Long-serm corporate bonds Preferred stocks All of the above None of the above When an investment bank buys all of the stock a company is issuing On a single i and resells the stock itself, it is making a A best efforts underwriting A firm commitment underwriting A designated market maker offfering A secondary market offering All of the ahove b. d Who stands ready to buy or sell, trading with amyoe who wishes to do so on the NYSE Designated market makers (DMM-s) NASDAQ dealers Discount brokers Primary market makers All of the above a. h di Which of the following are part of the primary market for stocks? 10. NASDAQ dealers Investment bankers Auction markets All of the above Both (a) and (c), but not (b) a b. c. d e. The main attraction(s) of the moncy market for investors is (are) 11. High degree of safety High degree of liquidity High expected rate of return All of the above Both (a) and (b), but not (c) a b. c. d. Which of the following is true about a stop loss order When the order is placed with the broker, it is executed immediately at the current 12. а. market price The order immediately becomes a market order when the stop price is reached All of the above are true None of the above are true The order may only be filled at the stop price or better b. C. d. е. A risk premium is A measurement of a person=s level of risk aversion The difference between two risky expected rates of return The difference between an asset=s risk and its expected rate of return 13. a. b. The difference between a risky expected rate of return and the risk-free rate The sum of a risky expected rate of return and the risk-free rate c. d. e.

Answer 1

The option will be (d) All of the above as Treasury bills are the most marketable money market security issued by government to borrow money for short period. Similarly, Long term cooperative bonds are issued by Corporation and sold to investors. Also, preferred stocks, which make fixed payments, the value of these shares are sensitive to changes in interest rates of market.