What are the four characteristics of a financial instrument?
What will be an ideal response?
(1) A financial instrument is a written legal obligation; (2) A financial instrument transfers something of value to another party; (3) A financial instrument specifies some future date for this transfer to occur; and (4) A financial instrument specifies certain conditions under which payment will be made.
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When the demand and supply of a good both shift in the same direction and amount: a. Price will change in the same direction as the shifts in supply and demand
b. Price will change in the opposite same direction as the shifts in supply and demand. change in price and an increase in quantity exchanged. c. Quantity exchanged will change in the same direction as that of the shifts in supply and demand. d. Quantity exchanged will change in the opposite direction from that of the shifts in supply and demand
If box C represents households, then box D represents _____
a. firms. b. resource markets. c. households. d. product markets. e. expenditures. check image at top
What is the difference between scarcity and a shortage?
What will be an ideal response?
________ assist in the initial sale of securities in the primary market; ________ assist in the trading of securities in the secondary markets
A) Investment banks; mutual funds B) Commercial banks; mutual funds C) Investment banks; securities brokers and dealers D) Commercial banks; securities brokers and dealers