Graduate level Finance Class: Questions: 1) What is the purpose of the...

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Accounting

Graduate level Finance Class:

Questions:

1) What is the purpose of the capital market? How do the capital market securities differ from money market securities in their general characteristics?

2) Using the Gordon growth model, explain why the 2001 terrorist attacks and the Enron financial scandal caused stock prices to decline.

3) Describe the sequence of events in a financial crisis and explain why they can cause economic activity to decline

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