QN1. Markets in which derivatives are traded are classified asA. Assets backed marketB. Cash flow backed marketsC. Mortgage backed marketsD. Derivative securities markets AnswerAnswer: D. Derivative securities markets QN2. Situation in which large portion of majority is borrowed from broker of investor is classified asA. Future investmentB. Forward investmentC. Leveraged investmentD. Non leveraged investment AnswerAnswer:…