Question

This is for my intro to business, I need help with the Multiple choice question. I need help with all the questions, I did answer some of the question but I'm not sure if they're correct or not

Multiple Choice - circle letter corresponding to the correct answer. 1. A is a registered representative acting as an intermediary to buy and sell securities for clients. A. certified stock underwriter lockbroker C. securities banker D. trading accountant 2. When an investor sells a security for more than the purchase price, the investor earns a(n): A. dividend payment. B. appreciated interest receipt. C corporate benefit. Wapital gain. 3. Which of the following organizations provides an assessment of the relative level of risk of a particular firm's bond issue? A. The Securities and Exchange Commission B. E Trade C. The Wall Street Journal D. Standard & Poor's 4. An investment that pools together investors' money in order to buy securities in many different companies or governments is a A. commercial fund B. mutual fund C. holding company D. Public Investment Corporation 5. The Securities & Exchange Commission developed short time when the market has experienced a dramatic decrease in prices. A. program trading B. on-line investing C. circuit breakers D. insider trading to halt trading in the stock market for a

Answer 1

ANSWER:

(1)

OPTION B: stockbroker

EXPLANATION: There can be no valid trading without stockbroker

(2)

OPTION D: capital gain

EXPLANATION: capital gain is earned on selling investment at a profit

(3)

OPTION D: Standard & Poor’s

EXPLANATION: This is the institution doing the job

(4)

OPTION B: mutual fund

EXPLANATION: mutual fund has this unique feature which can be used many naive investors

(5)

OPTION C: circuit breakers

EXPLANATION: circuit breakers means this