The market risk premium represents the expected difference between:

A) the return on AAA bonds and Treasury bonds.
B) the prime rate and the 3-month Treasury bill rate.
C) the return on the stock market and the return on preferred shares.
D) the return on the stock market investment and the risk-free return.


D

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In order to become a holder in due course, a person who takes a negotiable instrument must be a holder, and take the instrument:

A. without notice that any party has any defense against it or claim in recoupment to it. B. with notice that it is overdue or has been dishonored. C. with notice of any claim of a property or possessory interest in it. D. without notice that the instrument contains an authorized signature.

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Household Appliance Corporation sells Ideal-brand vacuum cleaners to Jolly Discount Stores and other retailers. Household Appliance will have an insurable in¬ter¬est in the players as long as

a. Household Appliance remains in business. b. Household Appliance retains title to the goods. c. the goods are in existence. d. there is no risk of loss.

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Renting offers several advantages: mobility, lower monthly costs, low initial costs, and what?

A) Durability B) High Interest Income C) Better Credit D) No Bugs E) No required maintenance

Business

To test the validity of your selection device for widget makers, you have given it to the present widget makers in your company and correlated it with their latest performance appraisal scores. What type of validation have you used?

A. Predictive B. Concurrent C. Content D. Construct

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