The capital markets can be divided into two broad categories:
What will be an ideal response?
Ans: equity interests and debt interests
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If two investments are perfectly positively correlated:
A. there is no benefit from diversification. B. bets are perfectly hedged and risks are canceled out. C. diversification reduces risk without changing the expected payoff. D. diversification reduces both risk and the expected payoff.
Explicit costs
a. require an outlay of money by the firm. b. include all of the firm's opportunity costs. c. include the value of the business owner's time. d. Both b and c are correct.
The demand curve faced by a perfectly competitive industry
A) slopes upward. B) slopes downward. C) has no slope. D) is horizontal.
A majority of the world's energy supply today comes from fossil fuels, such as coal, oil, and natural gas.
Answer the following statement true (T) or false (F)