FP Obj 2.01&2.02

A marketplace where trading of securities such as equities, bonds, currencies, and derivatives occurs is referred to as a:

• bear market.

• financial market.

In which financial market do people make investments in cocoa beans and corn?

• insurance

• soft commodities

A level of performance that describes using the least amount of input to achieve the highest amount of output is known as:

• commodity.

• efficiency.

A type of market in which each transaction takes place at predetermined time intervals is referred to as a:

• call market.

• bond market.

A type of market that allows traders to trade any time the market is open is known as a:

• financial market.

• continuous market.

Which type of financial market sells new stock or bond issues to investors?

• primary capital

• soft commodities

A form of money held or traded outside the country in whose currency its value is stated is known as:

• U.S. currency.

• Eurocurrency.

Chris wants to open a small business, and he has a very good business plan that is likely to succeed. Where would Chris be most likely to go to apply for a loan?

• local bank

• national bank

The term that refers to how easily an asset can be converted to cash is known as:

• commodity.

• liquidity.

Marcus wants to invest a portion of his money in long-term securities to finance his son's college education and his own retirement. To help him make the best investment decisions, Marcus should obtain the services of a:

• certified financial planner.

• credit-union representative.