Marketability is the ability of an investor

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1. Marketability is the ability of an investor

to sell a security quickly, at a low transaction cost, and at a price close to its fair market value.

to sell at a profit under all circumstances.

to sell the security above its par value.

None of the above

2. The three economic factors that affect the shape of the yield curve are:

the real rate of interest, the expected rate of inflation, and marketability.

the real rate of interest, the expected rate of inflation, and interest rate risk.

the nominal rate of interest, the expected rate of inflation, and default risk.

the real rate of interest, the nominal rate of interest, and currency risk.

3. Direct search markets are characterized by

complete price information

extensive broker and dealer participation

private placement transactions and sale of common stock of small private companies

a high level of efficiency

Reference no: EM131334294

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