1-Principal __________________ fall into three categories: depository institutions (banks), contractual savings institutions, and investment intermediaries.
Financial markets security exchanges financial intermediariesâ investment funds
Savings institutions
bitcoin/annuity payments securities/investment advice
2-Deposits that are payable on demand but do not allow their owner to write checks are called _______________.
Restricted deposits savings deposits time sensitive deposits non-checkable deposits demand deposits
3-Deposit with fixed terms to maturity are called ___________.
Relative deposits term deposits fixed deposits restricted deposits time deposits
4-Commercial banks ___________ primarily by issuing checking deposits, savings accounts, and time deposits.
Increase profits decrease cost attract investors raise funds increase assets
5-A type of depository institution that over time has become more like commercial banks and are now more competitive with each other are called ______________ associations and mutual savings banks.
savings and loan contractual savings institutions, investment intermediaries
crowd funding sites deposit and loan
6-Credit unions are typically very small cooperative lending institutions organized around a particular _____________________: members of the same union, employees of a particular firm, and members of the same profession, such as teachers.
Type of investment corporation financial strategy risk avoidance strategy
group that have something in common
7-Insurance companies and pension funds are examples of ________________ institutions.
contractual savings depository institutions (banks), investment intermediaries entrepreneurial at risk
8-Contractual savings institutions (CSIâs) acquire funds at _______________ on a contractual basis.
Estate sales periodic intervals bankruptcy auctions liquidations initial offerings
9-CSIâs do not worry as much as banks about losing funds quickly because they can predict with reasonable accuracy how much they will have to pay out in ___________ in coming years.
Interest payments dividends bank notes benefits IOUâs
10-_______________ is not as important a consideration for CSIâs as it is for banks.
Types of customers adverse selection Liquidity of assets portfolio diversification liabilities
11-CSI investments are typically ____________ such as corporate bonds, stocks, and mortgages.
Short-term securities long-term securities 3-month term securities overnight securities short-term assets
12-Companies that insure people against financial hazards following a death and sell annuities are called ________________________.
Predatory companies over-the-counter companies risky companies life insurance companies depository companies
13-_________________ that people pay to keep their policies in force constitute the funds life insurance companies use to buy corporate bonds and mortgages.
Interest dividends installments late fees Premiums
14-Companies that ___________ their policyholders against loss from theft, fire, and accidents are called fire and casualty insurance companies.
Insure Hold harmless guarantee advise oversee
15-Fire and casualty insurance companies acquire funds through the _________________ for their policies.
Sale of stock liquidation of collection of premiums interest payments dividends
16-Because of the greater possibility of loss of funds if major disasters occur, fire and casualty companies buy more ________________ than life insurance companies do.
Comprehensive insurance liquid assets risky assets corporate insurance bankruptcy insurance
17-Private pension funds and state and local retirement funds provide _______________ in the form of annuities to employees who are covered by a pension plan.
Dividends revenue stock options retirement income loans
18-Pension funds acquire funds from _____________ from employers and employees.
Fees pledges contributions garnishments payroll deductions
19-The largest ______________ of pension funds are corporate bonds and stocks.
Liability holdings asset holdings interest payments dividend payments fees
20-_________________________ include; finance companies, mutual funds and money market mutual funds.
depository institutions (banks), contractual savings institutions, stock markets
bond markets Investment intermediaries
21-Finance companies raise funds by ___________ commercial paper and by ____________ stocks and bonds.
Issuing/selling selling/buying selling/ issuing buying/issuing discounting/shorting
22-Finance companies lend these funds to __________, who make purchases of such items as furniture, automobiles, and home improvements, and to small businesses.
-depository institutions (banks), consumers contractual savings institutions,
investment intermediaries corporations
23-It is common for a finance company to be organized by a parent corporation to help _______________, such as; ford motor credit company.
Diversify its portfolio acquire assets liquidate liabilities sell its product off set profits
24-Selling shares to many individuals and using the proceeds to purchase diversified portfolios of stocks and bonds describes how _______________ acquire funds.
depository institutions (banks), mutual funds contractual savings institutions
stock markets bond markets
25-Shareholders can sell shares at any time but shares are subject to value fluctuations therefore mutual fund investments can be _______.
risky Subject to high returns certain investments interest rate neutral misunderstood
26-Money market funds sell _______ like mutual funds and offer checking accounts like ___________.
Deposits/insurance companies bonds/banks shares/insurance companies
Shares/ banks stock options/crowd sourcing sites
27-Money market funds invest in ________ and very ____________ and interest on these assets is paid out to the shareholders.
High risk/non-liquid junk bonds/risky assets low risk/ liquid assets low risk/junk bonds sub-prime securities/liquid assets
28-Money market funds have experienced extraordinary growth primarily because people like the idea of having a checking account that ____________________.
Has no fees pays them interest offers overdraft protection pays dividends
always has money in it
29-Investment banks help a ______________ issue securities.
Person foreign country stock market corporation bond market
30-Investment banks advises the corporation on which type of ______________ to issue; stocks or bonds.
Insurance loans interest rates dividends products securities
31-Investment banks help sell the corporations securities by purchasing them from the corporation and _______ them in the market.
Discounting re-selling insuring advertising financing
32-Investment banks also act as ___________ and earn enormous fees by helping corporations acquire other companies through mergers or acquisitions.
Depositories money launders deal makers insurance companies entrepreneurs
1-Principal __________________ fall into three categories: depository institutions (banks), contractual savings institutions, and investment intermediaries.
Financial markets security exchanges financial intermediariesâ investment funds
Savings institutions
bitcoin/annuity payments securities/investment advice
2-Deposits that are payable on demand but do not allow their owner to write checks are called _______________.
Restricted deposits savings deposits time sensitive deposits non-checkable deposits demand deposits
3-Deposit with fixed terms to maturity are called ___________.
Relative deposits term deposits fixed deposits restricted deposits time deposits
4-Commercial banks ___________ primarily by issuing checking deposits, savings accounts, and time deposits.
Increase profits decrease cost attract investors raise funds increase assets
5-A type of depository institution that over time has become more like commercial banks and are now more competitive with each other are called ______________ associations and mutual savings banks.
savings and loan contractual savings institutions, investment intermediaries
crowd funding sites deposit and loan
6-Credit unions are typically very small cooperative lending institutions organized around a particular _____________________: members of the same union, employees of a particular firm, and members of the same profession, such as teachers.
Type of investment corporation financial strategy risk avoidance strategy
group that have something in common
7-Insurance companies and pension funds are examples of ________________ institutions.
contractual savings depository institutions (banks), investment intermediaries entrepreneurial at risk
8-Contractual savings institutions (CSIâs) acquire funds at _______________ on a contractual basis.
Estate sales periodic intervals bankruptcy auctions liquidations initial offerings
9-CSIâs do not worry as much as banks about losing funds quickly because they can predict with reasonable accuracy how much they will have to pay out in ___________ in coming years.
Interest payments dividends bank notes benefits IOUâs
10-_______________ is not as important a consideration for CSIâs as it is for banks.
Types of customers adverse selection Liquidity of assets portfolio diversification liabilities
11-CSI investments are typically ____________ such as corporate bonds, stocks, and mortgages.
Short-term securities long-term securities 3-month term securities overnight securities short-term assets
12-Companies that insure people against financial hazards following a death and sell annuities are called ________________________.
Predatory companies over-the-counter companies risky companies life insurance companies depository companies
13-_________________ that people pay to keep their policies in force constitute the funds life insurance companies use to buy corporate bonds and mortgages.
Interest dividends installments late fees Premiums
14-Companies that ___________ their policyholders against loss from theft, fire, and accidents are called fire and casualty insurance companies.
Insure Hold harmless guarantee advise oversee
15-Fire and casualty insurance companies acquire funds through the _________________ for their policies.
Sale of stock liquidation of collection of premiums interest payments dividends
16-Because of the greater possibility of loss of funds if major disasters occur, fire and casualty companies buy more ________________ than life insurance companies do.
Comprehensive insurance liquid assets risky assets corporate insurance bankruptcy insurance
17-Private pension funds and state and local retirement funds provide _______________ in the form of annuities to employees who are covered by a pension plan.
Dividends revenue stock options retirement income loans
18-Pension funds acquire funds from _____________ from employers and employees.
Fees pledges contributions garnishments payroll deductions
19-The largest ______________ of pension funds are corporate bonds and stocks.
Liability holdings asset holdings interest payments dividend payments fees
20-_________________________ include; finance companies, mutual funds and money market mutual funds.
depository institutions (banks), contractual savings institutions, stock markets
bond markets Investment intermediaries
21-Finance companies raise funds by ___________ commercial paper and by ____________ stocks and bonds.
Issuing/selling selling/buying selling/ issuing buying/issuing discounting/shorting
22-Finance companies lend these funds to __________, who make purchases of such items as furniture, automobiles, and home improvements, and to small businesses.
-depository institutions (banks), consumers contractual savings institutions,
investment intermediaries corporations
23-It is common for a finance company to be organized by a parent corporation to help _______________, such as; ford motor credit company.
Diversify its portfolio acquire assets liquidate liabilities sell its product off set profits
24-Selling shares to many individuals and using the proceeds to purchase diversified portfolios of stocks and bonds describes how _______________ acquire funds.
depository institutions (banks), mutual funds contractual savings institutions
stock markets bond markets
25-Shareholders can sell shares at any time but shares are subject to value fluctuations therefore mutual fund investments can be _______.
risky Subject to high returns certain investments interest rate neutral misunderstood
26-Money market funds sell _______ like mutual funds and offer checking accounts like ___________.
Deposits/insurance companies bonds/banks shares/insurance companies
Shares/ banks stock options/crowd sourcing sites
27-Money market funds invest in ________ and very ____________ and interest on these assets is paid out to the shareholders.
High risk/non-liquid junk bonds/risky assets low risk/ liquid assets low risk/junk bonds sub-prime securities/liquid assets
28-Money market funds have experienced extraordinary growth primarily because people like the idea of having a checking account that ____________________.
Has no fees pays them interest offers overdraft protection pays dividends
always has money in it
29-Investment banks help a ______________ issue securities.
Person foreign country stock market corporation bond market
30-Investment banks advises the corporation on which type of ______________ to issue; stocks or bonds.
Insurance loans interest rates dividends products securities
31-Investment banks help sell the corporations securities by purchasing them from the corporation and _______ them in the market.
Discounting re-selling insuring advertising financing
32-Investment banks also act as ___________ and earn enormous fees by helping corporations acquire other companies through mergers or acquisitions.
Depositories money launders deal makers insurance companies entrepreneurs
Related textbook solutions
Related questions
1. Which of the following both increase the money supply?
an increase in the discount rate and an increase in the interest rate on reserves
an increase in the discount rate and a decrease in the interest rate on reserves
a decrease in the discount rate and an increase in the interest rate on reserves
a decrease in the discount rate and a decrease in the interest rate on reserves
wealth. M1. M2. |
wealth held by people in their savings accounts. wealth held by people in money market mutual funds. everything that is included in M2 plus some additional items |
borrow more from the Fed and lend less to the public. The money supply decreases. borrow less from the Fed and lend more to the public. The money supply increases. borrow less from the Fed and lend less to the public. The money supply decreases. |
the amount of reserves banks must hold against deposits. reserves banks must hold based on the number and type of loans they make. the interest rate at which banks can borrow from the Fed. |
trades require a double coincidence of wants. currency is accepted primarily to make further trades. people must spend time searching for the products they wish to purchase. |
2485 6295 7075 |
decreased both the money multiplier and the money supply. increased the money multiplier and decreased the money supply. decreased the money multiplier and increased the money supply. |
Amber with Tom Rupert with Rob None of the above is correct. |
| 10. Economists use the term money to refer to |
all wealth.
all assets, including real assets and financial assets.
all financial assets, but not real assets.
those types of wealth that are regularly accepted by sellers in exchange for goods and services.
