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exam review any help id apprciated CHAPTER 10: 1. A security is a A) regulation dealing with the transactions of investments B) system aimed at

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CHAPTER 10: 1. A security is a A) regulation dealing with the transactions of investments B) system aimed at protecting the interests of the market participants C) share or interest representing financial value D) process related to the valuation of a financial instrument 2. Which of the following is NOT an example of a security? A) preferred stock B) municipal bond C) Treasury bills D) All are examples of a security. 3. Which of the following is true of the comparison between equity securities and debt securities? A) Debt securities represent stock ownership in a company whereas equity securities represent a credit relationship with the company. B) Equity securities may earn dividend revenue whereas debt securities earn interest revenue. C) Neither debt securities nor equity securities mature at a stated date. D) Both debt securities and equity securities pay interest 4. Which of the following may pay dividends? A) preferred stock B) investors C) Treasury bills D) notes payable 5. Regarding debt securities, which of the following statements is incorrect? A) Debt securities include Treasury bills. B) Debt securities represent a credit relationship with another company or governmental entity. C) Debt securities typically pay interest for a fixed period. D) Debt securities include common and preferred stock

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