45. Which of the following is an example of a capital market instrument?

a. Commercial Paper.

b. Treasury bills.

c. Preferred stock.

d. Bankers acceptances.

46. Which of the following ratios will increase as a firm uses more financial leverage?

a. The debt-to-equity ratio

b. The inventory turnover

c. The time-interest-earned ratio

47 You need $2,000 to buy a new stereo for your car. If you have $800 to invest at 5 percent compounded annually, how long will you have to wait to buy the stereo?

a. 18.78 years.

b. 14.58 years.

c. 8.42 years.

d. 6.58 years.