please answer all three question Because they are related each other.

Question 38

1. Relative to the peak stage of the business cycle, we will expect that in the case of a recession the level of frictional unemployment in the US will most likely

		a)decrease
		b)increase
		c)stay the same
		d)we cannot say

Question 42

Credit risk for a commercial bank is the risk

	a.	Arising from fluctuations in asset prices
	b.	Arising from fluctuations in the economys aggregate output
	c.	Arising from excessive customer withdrawals relative to the bank liquid assets
	d.	Arising from the risk that bank loans will not be repaid

Question 44

The strike price of an option is

	a.	The price which renders the option worthless
	b.	The profit an investor makes by exercising the option
	c.	The price an option holder agrees to pay for the security
	d.	The difference between profit and the security price