Income Intermediate: Money Market Deposit Accounts

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1.
In the money market, _______ debt investments are bought and sold.
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Short-term. Money market investments are short-term in duration.
2.
Which of the following is not a popular reason to keep funds in a money market deposit account after it has been withdrawn from a tax-qualified retirement account?
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None of the above. All of the above reasons are popular.
3.
Money market deposit accounts vary in many ways. Which of the following is not one of these variations?
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None of the above. All of these are variations among MMDAs.
4.
The earnings on money market deposit accounts are generally competitive with those of which of the following investments?
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Certificates of deposit. Money market deposit account earnings are generally on a par with those of certificates of deposit.
5.
Individuals saving up for major purchases do not keep their funds in money market deposit accounts.
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True. These are indexed money market accounts.