8.Which one of the following statements is true about secondary markets? Select one: a. For an investor, the secondary market guarantees profitability for the shares of securities they own. b. All of the options are true statements. c. An active secondary market causes companies to sell their new debt or equity issues at a higher cost of funds. d. In secondary markets, outstanding shares are bought and sold among investors.

7.Which one of the following increases the sensitivity of bond prices? Select one: a. A decrease in maturity. b. An increase in maturity. c. A decrease in the yield to maturity. d. An increase in the coupon payment.

6.Which of the following money market instruments would typically be used by low credit rated commercial companies to raise funds? Select one: a. Treasury notes b. Negotiable CDs c. Bank-accepted bills d. Commercial paper