The primary drawback of money market accounts is that:
A)they may restrict the number of transactions in the account that may take place in a specific period of time.
B)the higher the interest rate they pay,the shorter their maturity date.
C)they require an investment that is larger than many firms can make.
D)the interest rate that they offer is fixed,raising the issue of interest rate risk.

Question

Quizplus · Accepted Answer

Money market accounts often have limits on the number of transactions that can be made within a certain period of time, such as six transfers or withdrawals per statement cycle. This can be a drawback for those who need frequent access to their funds.

The Primary Drawback of Money Market Accounts Is That