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1. 
Which of the following is true for bonds but not for stocks?
A.
Bonds are the least liquid form of assets.
B.
Bonds represent partial ownership in a company.
C.
Bonds are interest-bearing assets.
D.
Bonds have zero opportunity cost.
2. 
Which of the following is considered the most liquid asset?
A.
Stocks
B.
Bonds
C.
Currency
D.
Real estate
3. 
Which of the following will happen when interest rates increase in an economy?
A.
The cost of borrowing will decrease.
B.
The price of previously issued bonds will increase.
C.
Investment spending will increase.
D.
The opportunity cost of holding money will increase.
4. 
Which of the following is true for both stocks and bonds?
A.
They are interest-bearing assets.
B.
They are financial assets.
C.
They are risk-free assets.
D.
They are equity.
5. 
Which of the following rankings lists these assets from the least liquid to the most liquid?
A.
Cash, bonds, house, savings account
B.
Bonds, house, savings account, cash
C.
Savings account, cash, bonds, house
D.
House, bonds, savings account, cash