Question 1

After the recent credit crisis, many small business owners have suffered because banks have begun pulling their lines of credit.

Accepted Answer

A) True 
 B)False

Question 2

How are Canadian banks, in terms of assets, compared to other international banks?

Accepted Answer

Banks in Asia and Europe are generally m

Question 3

______ is a federal agency which insures deposits at commercial and savings banks.

Accepted Answer

A)  Bank of Montreal (BMO) 
B)  Canadian Imperial Bank of Commerce (CIB
C)  
C)  Toronto Dominion Bank (TD Bank) 
D)  Canada Deposit Insurance Corporation (CDI
C)  
A)  Bank of Montreal (BMO) 
B)  Canadian Imperial Bank of Commerce (CIB
C)  
C)  Toronto Dominion Bank (TD Bank) 
D)  Canada Deposit Insurance Corporation (CDI
C)

Question 4

What type of financial institution raises money from investors by selling shares?

Accepted Answer

A)  mutual fund 
B)  property and liability insurance company 
C)  credit union 
D)  pension fund 
A)  mutual fund 
B)  property and liability insurance company 
C)  credit union 
D)  pension fund

Question 5

All bonds are short-term securities issued by the Canadian Treasury and backed by the full faith and credit of the Canadian government.

Accepted Answer

A) True 
 B)False

Question 6

Facebook had its ______ when it sold stocks to the public for the first time.

Accepted Answer

A)  tombstone 
B)  financial offering 
C)  underwriting 
D)  initial public offering 
A)  tombstone 
B)  financial offering 
C)  underwriting 
D)  initial public offering

Question 7

Complete the following using the terms listed below.
-______ are the largest and probably most important financial institutions in the United States and in most other countries as well.

Accepted Answer

A) bonds 
B) commercial banks 
C) NASDAQ 
D) credit unions 
E) financial system
F)call provision
G)insider trading
H)Bank of Canada
I)securities
J)New York Stock Exchange
K)online banking
L)limit order
M)debentures
N)primary market
O)net savers 
A) bonds 
B) commercial banks 
C) NASDAQ 
D) credit unions 
E) financial system
F)call provision
G)insider trading
H)Bank of Canada
I)securities
J)New York Stock Exchange
K)online banking
L)limit order
M)debentures
N)primary market
O)net savers

Question 8

All of the following statements concerning the Bank of Canada are correct EXCEPT ______.

Accepted Answer

A)  the Bank of Canada is the nation's central bank 
B)  the Bank of Canada acts as the banker's bank 
C)  virtually all large commercial banks are Bank of Canada members 
D)  credit unions and savings banks must belong to the Bank of Canada 
A)  the Bank of Canada is the nation's central bank 
B)  the Bank of Canada acts as the banker's bank 
C)  virtually all large commercial banks are Bank of Canada members 
D)  credit unions and savings banks must belong to the Bank of Canada

Question 9

A town is considering putting in a toll road that will produce revenue for the town. To provide funding, the town plans to sell revenue bonds.

Accepted Answer

A) True 
 B)False

Question 10

Alex buys a money market instrument. It will mature in ______.

Accepted Answer

A)  ten years 
B)  two years 
C)  one year 
D)  six months 
A)  ten years 
B)  two years 
C)  one year 
D)  six months

Question 11

The NASDAQ is a computerized communications network that links member investment firms and is the world's largest intranet.

Accepted Answer

A) True 
 B)False

Question 12

______ are creditors of a corporation or government body.

Accepted Answer

A)  Commercial paper holders 
B)  CD holders 
C)  Treasury bills holders 
D)  Bondholders 
A)  Commercial paper holders 
B)  CD holders 
C)  Treasury bills holders 
D)  Bondholders

Question 13

The Investment Industry Regulatory Organization of Canada's purpose is to ensure that all equity trades comply with security trading rules.

Accepted Answer

A) True 
 B)False

Question 14

The Canada Pension Plan fund has assets of over $148 billion.

Accepted Answer

A) True 
 B)False

Question 15

When a company offers stock for sale to the general public for the first time, it is called an initial public offering.

Accepted Answer

A) True 
 B)False

Question 16

Businesses are net savers, while households are net users of funds.

Accepted Answer

A) True 
 B)False

Question 17

A commercial finance company supplies short-term funds to businesses that use their tangible assets as collateral.

Accepted Answer

A) True 
 B)False

Question 18

The financial system describes the process by which funds flow from savers to users.

Accepted Answer

A) True 
 B)False

Question 19

An owner of which form of stock would receive dividend payments first?

Accepted Answer

A)  preferred stock 
B)  common stock 
C)  convertible securities 
D)  standard stock 
A)  preferred stock 
B)  common stock 
C)  convertible securities 
D)  standard stock

Question 20

Explain what a mutual fund is and give an example of one.

Accepted Answer

Mutual funds are financial intermediarie

After the recent credit crisis, many small business owners have suffered because banks have begun pulling their lines of credit.

How are Canadian banks, in terms of assets, compared to other international banks?

______ is a federal agency which insures deposits at commercial and savings banks.

What type of financial institution raises money from investors by selling shares?

All bonds are short-term securities issued by the Canadian Treasury and backed by the full faith and credit of the Canadian government.

Facebook had its ______ when it sold stocks to the public for the first time.

Complete the following using the terms listed below. -______ are the largest and probably most important financial institutions in the United States and in most other countries as well.

All of the following statements concerning the Bank of Canada are correct EXCEPT ______.

A town is considering putting in a toll road that will produce revenue for the town. To provide funding, the town plans to sell revenue bonds.

Alex buys a money market instrument. It will mature in ______.

The NASDAQ is a computerized communications network that links member investment firms and is the world's largest intranet.

______ are creditors of a corporation or government body.

The Investment Industry Regulatory Organization of Canada's purpose is to ensure that all equity trades comply with security trading rules.

The Canada Pension Plan fund has assets of over $148 billion.

When a company offers stock for sale to the general public for the first time, it is called an initial public offering.

Businesses are net savers, while households are net users of funds.

A commercial finance company supplies short-term funds to businesses that use their tangible assets as collateral.

The financial system describes the process by which funds flow from savers to users.

An owner of which form of stock would receive dividend payments first?

Explain what a mutual fund is and give an example of one.

The Changing Face of Business

Business Ethics and Social Responsibility

Economic Challenges Facing Contemporary Business

Competing in World Markets

Forms of Business Ownership and Organization

Starting Your Own Business: the Entrepreneurship Alternative

Management, Leadership, and the Internal Organization

Human Resource Management: From Recruitment to Labour Relations

Top Performance Through Empowerment, Teamwork, and Communication

Production and Operations Management

Customer-Driven Marketing

Product and Distribution Strategies

Promotion and Pricing Strategies

Using Technology to Manage Information

Understanding Accounting and Financial Statements

Financial Management

Filters

Exam 16: The Financial System

After the recent credit crisis, many small business owners have suffered because banks have begun pulling their lines of credit.

How are Canadian banks, in terms of assets, compared to other international banks?

______ is a federal agency which insures deposits at commercial and savings banks.

What type of financial institution raises money from investors by selling shares?

All bonds are short-term securities issued by the Canadian Treasury and backed by the full faith and credit of the Canadian government.

Facebook had its ______ when it sold stocks to the public for the first time.

Complete the following using the terms listed below. -______ are the largest and probably most important financial institutions in the United States and in most other countries as well.

All of the following statements concerning the Bank of Canada are correct EXCEPT ______.

A town is considering putting in a toll road that will produce revenue for the town. To provide funding, the town plans to sell revenue bonds.

Alex buys a money market instrument. It will mature in ______.

The NASDAQ is a computerized communications network that links member investment firms and is the world's largest intranet.

______ are creditors of a corporation or government body.

The Investment Industry Regulatory Organization of Canada's purpose is to ensure that all equity trades comply with security trading rules.

The Canada Pension Plan fund has assets of over $148 billion.

When a company offers stock for sale to the general public for the first time, it is called an initial public offering.

Businesses are net savers, while households are net users of funds.

A commercial finance company supplies short-term funds to businesses that use their tangible assets as collateral.

The financial system describes the process by which funds flow from savers to users.

An owner of which form of stock would receive dividend payments first?

Explain what a mutual fund is and give an example of one.

The Changing Face of Business

Business Ethics and Social Responsibility

Economic Challenges Facing Contemporary Business

Competing in World Markets

Forms of Business Ownership and Organization

Starting Your Own Business: the Entrepreneurship Alternative

Management, Leadership, and the Internal Organization

Human Resource Management: From Recruitment to Labour Relations

Top Performance Through Empowerment, Teamwork, and Communication

Production and Operations Management

Customer-Driven Marketing

Product and Distribution Strategies

Promotion and Pricing Strategies

Using Technology to Manage Information

Understanding Accounting and Financial Statements

Financial Management

Filters