The risk that a debt security's price will fall, subjecting the investor to a potential capital loss is

A. credit risk.
B. market risk.
C. currency risk.
D. liquidity risk.
E. political risk.

Ans: B. market risk.

Business

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The following journal entry is necessary upon discovery of a "NSF" check during a bank reconciliation:

Select one: A. Accounts receivable Cash B. Not Sufficient Funds Expense Cash C. Miscellaneous Expense Cash D. No entry is necessary because the bank makes the entry.

Business

Risks can be quantified by multiplying the likelihood a failure will occur by the severity of the failure

Indicate whether the statement is true or false

Business