Financial Management - Study Mode
[#171] Set of rules consisting of behavior towards its directors, creditors, shareholders, competitors and community is considered as
Correct Answer
(C) corporate governance
Explanation
Solution: Set of rules consisting of behavior towards its directors, creditors, shareholders, competitors and community is considered as corporate governance. Corporate governance is the combination of rules, processes or laws by which businesses are operated, regulated or controlled.
[#172] New York Stock Exchange and Nada stock market are classified as types of
Correct Answer
(C) secondary stock market
Explanation
Solution: New York Stock Exchange and Nada stock market are classified as types of secondary stock market. The secondary market is where investors buy and sell securities they already own. It is what most people typically think of as the "stock market," though stocks are also sold on the primary market when they are first issued.
[#173] Price for debt is called
Correct Answer
(D) interest rate
Explanation
Solution: Price for debt is called interest rate. An interest rate is the amount of interest due per period, as a proportion of the amount lent, deposited or borrowed (called the principal sum).
[#174] In corporation characteristics, an easy transferring and division of stock of shares is classified as
Correct Answer
(A) ownership interest transferability
Explanation
Solution: In corporation characteristics, an easy transferring and division of stock of shares is classified as ownership interest transferability.
[#175] In financial markets, period of maturity less than one year of financial instruments is classified as
Correct Answer
(A) short-term
Explanation
Solution: In financial markets, period of maturity less than one year of financial instruments is classified as short-term. Money market has become a component of the financial market for buying and selling of securities of short-term maturities, of one year or less, such as treasury bills and commercial papers.