Exam 15: Understanding Money, financial Institutions, and the Securities Markets

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The amount borrowed by the issuer of a bond that must be repaid at maturity is called the ____________________ or par value.

(Short Answer)
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The ____________________ market is the market in which already-issued securities are bought and sold among investors.

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A ten-dollar bill can be changed into two five-dollar bills or ten loonies.This key characteristic of money is known as which of the following?

(Multiple Choice)
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The Canadian money supply comprises which of the following items?

(Multiple Choice)
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Money is anything that is acceptable as payment for goods and services.

(True/False)
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When Raven Asan sold 12 shares of Home Depot stock that her father had bought from a business acquaintance and given her as a graduation present,it was on which of the following markets?

(Multiple Choice)
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Which of the following financial institutions is a not-for-profit institution?

(Multiple Choice)
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ATMs let customers of banks make deposits and withdrawals while in a shopping centre or supermarket 24 hours a day.What do the letters ATM stand for?

(Multiple Choice)
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The issuance of bonds is a type of debt financing.

(True/False)
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Any object or objects that a group of people use to buy and sell goods and services are known as which of the following?

(Multiple Choice)
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Suppose Scotiabank borrows funds from the Bank of Canada.What is the rate the Bank of Canada charges Scotiabank?

(Multiple Choice)
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What are two types of equity securities?

(Multiple Choice)
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Internet technology can allow investors to buy and sell shares without using a stockbroker.

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What is the Bank of Canada's most frequently used and most flexible tool?

(Multiple Choice)
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Darren Hicks owns 10 shares in Carolina Power,a utility company.He has voting rights and shares in the profits.What type of shares does Hicks own?.

(Multiple Choice)
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A security that represents direct ownership interest in a corporation and allows the owner to share in the profits is known as which of the following?

(Multiple Choice)
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Futures contracts are best described by which of the following?

(Multiple Choice)
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What is the tool most frequently used by the Bank of Canada to control inflation and interest rates,increase employment,and influence economic activity?

(Essay)
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Which of the following would be described as anything that is acceptable as payment for goods and services?

(Multiple Choice)
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Boulders,building tresses,and lead ingots would not make good mediums of exchange because they lack key characteristic?

(Multiple Choice)
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