1. The primary regulator of securities markets in the United States is:

a. Federal Reserve Bank

b. Department of the Treasury

c. Internal Revenue Service

d. Securities and Exchange Commission

12. The following are characteristics of a limited liability company (LLC) that would be attractive to an investor in a start-up, except for:

a. Permanence

b. Flexibility

c. Limited Liability

d. Pass Through Income and Loss for Tax Purposes

13. Which of the following statements is true:

I. A car lease is an example of an annuity due

II. A car loan is an example of an ordinary annuity

a. Only I is true

b. Only II is true

c. Both I and II are true

d. Neither I nor II are true

14. The yield curve is:

a. An index of all bonds sold in the United States

b. A measure of the excess yield over Treasuries that is required from a corporate bond

c. A graphic representation showing the relationship of interest rates for different maturities, usually with respect to Treasury bills, notes, and bonds

d. A graphic projection estimating the production all goods and services in the United States at various interest rate levels?

15. Which of the following is not considered a systematic risk?

a. Interest rates spiking 2 points

b. The dollar strengthening against the euro

c. A company increasing its Debt Equity Ratio

d. Increased volatility in the S&P 500 Index