Question: 3. According to the expectations hypothesis, a(n) ________ yield curve reflects higher expected future rates of interest. A. flat B. downwarddash-sloping C. upwarddash-sloping D. linear

3. According to the expectations hypothesis, a(n) ________ yield curve reflects higher expected future rates of interest.

A.

flat

B.

downwarddash-sloping

C.

upwarddash-sloping

D.

linear

4.

When an investment bank buys new securities from a firm and takes on the responsibility of reselling those securities to the public it is engaged in ________.

A.

the road show

B.

underwriting

C.

underpricing the security offering

D.

market manipulation

9.

Which of the following is an example of marketable securities?

A.

loans

B.

treasury stock

C.

mortgage backed securities

D.

U.S.Treasury bills

21.

The term "double taxation" means that ________.

A.

partnerships and sole proprietorships pay tax on the income that they earn, and then income distributed from the business to the owner is taxed again at the individual level

B.

a corporation pays tax on the interest it pays to bondholders and then bondholders pay tax again on the interest payments they receive from firms

C.

corporations pay tax on the income they earn and then shareholders pay tax on income that the corporation distributes to them

D.

the highest federal income tax rate faced by corporations is twice the highest tax rate faced by individuals

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