Financial institutions, even though they often own large proportions of a firm's securities, play no role in monitoring publicly traded firms.   Question 7 options:   True   False

a. What are the risks and rewards of investing in the stock market as compared to the bond market?b. “Because corporations do not actually raise any funds in secondary markets, they are less important to the economy than primary markets.” Comment.

why is money market necessary but not sufficient for the liquidity of securities on the stock market

explain the statement"The money market is neccessary but not sufficinet for the liduiidity of securities on the stock market"

(please correct and incorrect option explain and correct answer) Which of the following statements is most correct? Group of answer choices Money market transactions include common stock transactions. Preferred stockholders are paid before bondholders but after common stockholders. One of the problems in corporations is that managers often put their own interests ahead of those of the stockholders. U.S. T-bills are considered risky securities. None of the above statements is correct.

Buying common stock is riskier than buying a U.S Treasury bill. state reason in 'other'   true False

Suppose a public company compensates its risk averse managers with stock awards rather than stock options, and the company's stock price has fallen precipitously. In this setting, using stock awards will induce more risk taking by management versus the use of stock options.   Question options:   a) True   b) False

Which of the following is not an impairment indicator for investment securities? Group of answer choices decline in credit rating fluctuating stock prices adverse changes in the economy deterioration of earnings

Which of the following is TRUE about the strong form of market efficiency?     Insider information cannot help investors to outperform the market     This form of efficiency suggests that all public information is already reflected in current prices     Fundamental analysis can be used to identify mispriced securities     Technical analysis can be used to identify mispriced securities

B- False 6. Active strategy is an investment policy that based on the premise that securities are fairly priced, and it avoids the costs involved in undertaking security analysis A- True. B- False 7. Examples of the company-specific influences are firm's success in R&D, its management style and philosophy, and so on. A- True B- False 8. Some examples of macroeconomics variable that cause market risk are business cycles, inflation, interest rates, exchange rates, and so forth. A- Truc B- False