When a company uses idle cash to invest in equity securities with less than 20% ownership, its total equity will increase

The velocity of money measures:

a. the quantity of money in an economy b. the rate of circulation of the money supply c. the level of inflation caused by the money supply d. none of the above

A broker advertises the sale of "Mega Bucks Trust Deeds" in a newspaper. In the advertisement he offers a specific yield which he arrives at by looking at his yield for the past year. Which of the following is true concerning this advertisement:

A: This is illegal according to the Truth-in-Advertising law; B: It is legal if the California Bureau of Real Estate has confirmed the yield that is stated; C: It is legal if he also gives the actual interest rate specified in the note and the discount from the outstanding principal balance; D: There is no law covering this subject.