Financial security with low degree risk and investment held by businesses is classified as________________?
(A) Treasury bills
(B) Commercial paper
(C) Negotiable certificate of deposit
(D) Money market mutual funds
As free bonds issue for welfare by industrial agencies or pollution control agencies are classified as__________?
(A) Agent bonds
(B) Development bonds
(C) Pollution control bonds
(D) Both B and C
Risk of fall in income due to fall in interest rates in future is classified as__________?
(A) Income risk
(B) Investment risk
(C) Reinvestment risk
(D) Mature risk
If coupon rate is equal to going rate of interest, then bond will be sold________?
(A) At par value
(B) Below its par value
(C) More than its par value
(D) Seasoned par value
Long period of bond maturity leads to_________?
(A) More price changes
(B) Stable prices
(C) Standing prices
(D) Mature prices
Projects which are mutually exclusive but different on scale of production or time of completion then the___________?
(A) External return method
(B) Net present value of method
(C) Net future value method
(D) Internal return method
Bonds issue by corporations which are more riskier than preferred stocks are classified as_____________?
(A) Leases
(B) Preferred stocks
(C) Common stocks
(D) Corporate stocks
Markets which deals with high liquid and short-term debt securities are classified as_____________?
(A) Capital markets
(B) Money markets
(C) Liquid markets
(D) Short-term markets
Firm’s promise to pay and is backed or guaranteed by bank is classified as____________?
(A) Customer’s acceptance
(B) Banker’s acceptance
(C) Federal acceptance
(D) Treasury acceptance
Professionals such as doctors, accountants and lawyers often make corporations are classified as____________?
(A) General professionals
(B) Professional corporation
(C) Professional association
(D) Both B and C