Question 1

When current savings of an economic unit exceed its direct investment in real assets,

Accepted Answer

A)  more funds are needed by the economic unit 
B)  funds can be made available to a savings deficit unit 
C)  interest rates will rise 
D)  firms have undistributed profits 
A)  more funds are needed by the economic unit 
B)  funds can be made available to a savings deficit unit 
C)  interest rates will rise 
D)  firms have undistributed profits

Question 2

Tax reform in the form of lower personal income tax rates in the mid-1960s and in the 1970s may have contributed to a higher personal savings rate.

Accepted Answer

A) True 
 B)False

Question 3

Personal consumption expenditures indicate expenditures by individuals for durable goods, nondurable goods, and services.

Accepted Answer

A) True 
 B)False

Question 4

The proportion of after-tax profits retained by corporations.

Accepted Answer

A)  Untaxed profits 
B)  Undistributed profits 
C)  Savings surplus unit 
D)  Economic unit savings 
A)  Untaxed profits 
B)  Undistributed profits 
C)  Savings surplus unit 
D)  Economic unit savings

Question 5

Foreign capital played a significant role in the development of the United States.

Accepted Answer

A) True 
 B)False

Question 6

Economic cycles may be viewed as annual events.

Accepted Answer

A) True 
 B)False

Question 7

Exports of goods and services minus imports.

Accepted Answer

A)  Net exports 
B)  Government expenditures 
C)  Gross private domestic investment 
D)  Personal consumption expenditures 
A)  Net exports 
B)  Government expenditures 
C)  Gross private domestic investment 
D)  Personal consumption expenditures

Question 8

Undistributed profit is the proportion of after-tax profit paid as dividends to shareholders by a corporation.

Accepted Answer

A) True 
 B)False

Question 9

Impeachment is a formal legislative process in which charges of "high crimes and misdemeanors" are brought against high-level officials.

Accepted Answer

A) True 
 B)False

Question 10

Mandatory spending is government spending provided by passage of appropriations bills that set aside funds for specific federal agencies and programs.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following factors often influence a person's choice of savings medium?

Accepted Answer

A)  foreign income taxes 
B)  degree of safety 
C)  minimum deposit amounts 
D)  whether it is a bank or a savings and loan 
A)  foreign income taxes 
B)  degree of safety 
C)  minimum deposit amounts 
D)  whether it is a bank or a savings and loan

When current savings of an economic unit exceed its direct investment in real assets,

Tax reform in the form of lower personal income tax rates in the mid-1960s and in the 1970s may have contributed to a higher personal savings rate.

Personal consumption expenditures indicate expenditures by individuals for durable goods, nondurable goods, and services.

The proportion of after-tax profits retained by corporations.

Foreign capital played a significant role in the development of the United States.

Economic cycles may be viewed as annual events.

Exports of goods and services minus imports.

Undistributed profit is the proportion of after-tax profit paid as dividends to shareholders by a corporation.

Impeachment is a formal legislative process in which charges of "high crimes and misdemeanors" are brought against high-level officials.

Mandatory spending is government spending provided by passage of appropriations bills that set aside funds for specific federal agencies and programs.

Which of the following factors often influence a person's choice of savings medium?

The Financial Environment

Money and the Monetary System

Banks and Other Financial Institutions

Federal Reserve System

Policy Makers and the Money Supply

International Finance and Trade

Interest Rates

Time Value of Money

Bonds and Stocks: Characteristics and Valuations

Securities and Markets

Financial Return and Risk Concepts

Business Organization and Financial Data

Financial Analysis and Long-Term Financial Planning

Managing Working Capital

Short-Term Business Financing

Capital Budgeting Analysis

Capital Structure and the Cost of Capital

Filters

Exam 7: Savings and Investment Process

When current savings of an economic unit exceed its direct investment in real assets,

Tax reform in the form of lower personal income tax rates in the mid-1960s and in the 1970s may have contributed to a higher personal savings rate.

Personal consumption expenditures indicate expenditures by individuals for durable goods, nondurable goods, and services.

The proportion of after-tax profits retained by corporations.

Foreign capital played a significant role in the development of the United States.

Economic cycles may be viewed as annual events.

Exports of goods and services minus imports.

Undistributed profit is the proportion of after-tax profit paid as dividends to shareholders by a corporation.

Impeachment is a formal legislative process in which charges of "high crimes and misdemeanors" are brought against high-level officials.

Mandatory spending is government spending provided by passage of appropriations bills that set aside funds for specific federal agencies and programs.

Which of the following factors often influence a person's choice of savings medium?

The Financial Environment

Money and the Monetary System

Banks and Other Financial Institutions

Federal Reserve System

Policy Makers and the Money Supply

International Finance and Trade

Interest Rates

Time Value of Money

Bonds and Stocks: Characteristics and Valuations

Securities and Markets

Financial Return and Risk Concepts

Business Organization and Financial Data

Financial Analysis and Long-Term Financial Planning

Managing Working Capital

Short-Term Business Financing

Capital Budgeting Analysis

Capital Structure and the Cost of Capital

Filters