Liquid assets are less risky than investment assets. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
XYZ Insurance Company markets a wide range of coverages. One type of coverage provides monetary compensation if a bonded party fails to perform certain acts. This coverage is called A) property insurance. B) liability insurance. C) a fidelity bond. D) a surety bond. ANSWER Answer: D
Date: September 19th, 2020
A cashier at Food World Supermarket accepted a phony $100 bill. Which ISO commercial crime coverage is designed to cover such a loss? A) Forgery or Alteration B) Money Orders and Counterfeit Currency C) Inside the Premises—Theft of Money and Securities D) Inside the Premises—Robbery or Safe Burglary of Other Property ANSWER Answer: […]
Date: September 19th, 2020
Even though many U.S. companies, including General Electric, IBM, Walt Disney, and American Express, have successfully restructured their operations to expand internationally, not many foreign firms have made their mark in the United States. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
During the period 1990 to 2014, the average yield on 3-month U.S. Treasury bills was 3.04%, the average inflation rate was 2.64%, the average yield on 30-year Treasury bonds was 5.49%, and the average return on 30-year Aaa-rated corporate bonds was 6.35%. The real risk-free short-term interest rate is A) 2.13%. B) 2.97%. C) 0.40%. […]
Date: September 19th, 2020
All of the following statements about a surety are true EXCEPT A) A surety theoretically expects no losses to occur. B) The principal is the party who agrees to answer for the debt, default, or obligation of another party. C) The surety has the legal right to recover a loss payment from the defaulting principal. […]
Date: September 19th, 2020
Due to unstable world markets, most large U.S. corporations do almost all of their business in the United States. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
Explain why large and growing firms tend to choose the corporate form. What will be an ideal response? ANSWER The advantages of the corporation begin to dominate as the firm grows and needs access to the capital markets to raise funds. Because of the limited liability, the ease of transferring ownership through the […]
Date: September 19th, 2020
A bond that guarantees that the person responsible for the property of another will faithfully exercise his or her duties is called a A) fiduciary bond. B) performance bond. C) court bond. D) contract bond. ANSWER Answer: A
Date: September 19th, 2020
Which is NOT a characteristic of a limited liability partnership? A) One or more of the partners must be a general partner to whom the privilege of limited liability does not apply. B) Prohibits the limited partners from participating in the management of the partnership. C) Partners pay taxes on dividends distributed. D) One or […]
Date: September 19th, 2020
