FIN 100 Quiz 3 Chapters 7 and 8
- From Business, General Business
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Attempt Score
38 out of 40 points
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Instructions
This quiz consist of 20 multiple choice questions. The first 10 questions cover the material in Chapter 7. The second 10 questions cover the material in Chapter 8. Be sure you are in the correct Chapter when you take the quiz.
- Question 1
2 out of 2 points
Capital formation refers to the:
Answer
Selected Answer:
creation of physical productive facilities
Correct Answer:
creation of physical productive facilities
- Question 2
2 out of 2 points
When current savings of an economic unit exceed its direct investment in real assets, this is referred to as:
Answer
Selected Answer:
savings surplus
Correct Answer:
savings surplus
- Question 3
2 out of 2 points
A saver who chooses securities as a savings medium and desires maximum safety of principal buys:
Answer
Selected Answer:
government bonds
Correct Answer:
government bonds
- Question 4
2 out of 2 points
During the early years of the life stage of a typical corporation, the:
Answer
Selected Answer:
firm is unable to establish a strong position with respect to its financial assets
Correct Answer:
firm is unable to establish a strong position with respect to its financial assets
- Question 5
2 out of 2 points
Which of the following represent the most important instrument used to raise funds in the credit markets?
Answer
Selected Answer:
mortgages
Correct Answer:
mortgages
- Question 6
2 out of 2 points
Government-held reserves which are invested primarily in the in the obligations of federal, local, and state governments include:
Answer
Selected Answer:
retirement funds
Correct Answer:
retirement funds
- Question 7
2 out of 2 points
Greater potential savings would result from a (n):
Answer
Selected Answer:
shift to more middle-aged families
Correct Answer:
shift to more middle-aged families
- Question 8
0 out of 2 points
Direct securities:
Answer
Selected Answer:
are contracts between savers and institutions
Correct Answer:
are contracts between savers and borrowers
FIN 100 Quiz 2 complete solution
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FIN 100 Quiz 3 Chapters 7 and 8
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