FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 19: Using Securities Markets for Financing and Investing Opportunities

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 171

True/False

Review LaterAdd Note

Review Later

The prospectus is summarization of the results of detailed financial documents that a firm files with the SEC prior to being given approval to issue securities.

Correct Answer

verified

Show Answer

Question 172

True/False

Review LaterAdd Note

Review Later

Many observers suggest that the stock market is dominated by the buying and selling activities of institutional investors.

Correct Answer

verified

Show Answer

Question 173

True/False

Review LaterAdd Note

The maturity date of a bond refers to the date on which the interest payment is due to be paid.

An investor places a ________ order with a broker to buy a particular stock at a specific price,if and when that price becomes available.

During Ben's lunch break,he logged on to his computer to find the mutual fund he wanted to buy.As he made his way around several websites,he realized that the NAV net asset value) quoted was yesterday's close.His shares would be purchased tomorrow,with today's closing price.Looking over his shoulder,one of his coworkers suggested that he look into _________ because they are similar to mutual funds,but could be traded during the entire trading day,just like stocks.

Standard and Poor's and Moody's are well-known companies that rate bonds.

A bond offering description reads: "6s of 2015." This means the bond pays 3% interest semi-annually and matures in 2015.

When brokers talk about trading round lots,they are referring to 50 shares of stock.

Unlike stocks,for selling purposes,bond prices remain stable over the life of the bond.

When issuing stock to obtain long-term funding,dividend payments are:

A callable bond allows a bondholder to exchange his/her bond for shares of common stock in the same corporation.

Only those individuals and/or companies with a membership on a stock exchange can buy and sell securities on that stock exchange.

The investor always pays a fee when purchasing a share of a mutual fund.

Stocks that are not listed as trading on one of the national or international stock exchanges can be traded on the OTC,Over-The-Counter exchange.

Using information not available to the public to unfairly benefit in the stock market represents:

Prior to declaring a 4-for-1 stock split,Carbello Enterprises' stock sold for $44 a share.Immediately after the stock split,the value of a share of Carbello's stock should be ________ per share.

Trading in newly issued securities takes place in the:

Josh purchased the following shares of stock from three companies: Josh's total capital gain on these investments =

In the securities markets,capital gains take place when:

Both preferred stocks and bonds represent funding sources that require repayment to investors.