Questions from Financial Markets

Q: 1. A currency exchange rate reflects the value of a

1. A currency exchange rate reflects the value of a. a currency’s value in terms of gold. b. a currency’s value in terms of silver. c. one currency relative to another currency. d. the amount of a...

Q: 1. The major financial institutions categories include a. depository

1. The major financial institutions categories include a. depository institutions. b. contractual savings organizations. c. securities firms. d. finance firms. e. All of the choices are correct....

Q: 1. Which of the following is the accounting identity?

1. Which of the following is the accounting identity? a. Revenues – Expenses = Income b. Liabilities = Assets + Equity c. Earnings before taxes – Taxes = Net Income d. Assets = Liabilities + Equit...

Q: 1. What are the four major components of the U.

1. What are the four major components of the U.S. financial system? a. Policy makers, a monetary system, financial institutions, and financial markets b. Policy makers, a monetary system, a fiscal s...

Q: 1. What are financial markets, where debt securities with maturities

1. What are financial markets, where debt securities with maturities of one year or less are issued and traded, called? a. Money markets b. Capital markets c. Primary markets d. Secondary markets...

Q: 1. What are the major areas for possible careers in finance

1. What are the major areas for possible careers in finance? a. Business financial management b. Depository financial institutions c. Contractual savings and real property organizations d. Securit...

Q: 1. What topics do the three parts of this book cover

1. What topics do the three parts of this book cover? a. Institutions and markets b. Investments c. Financial management d. All of the choices are correct 2. In what part of this book is the fin...

Q: 1. What is the output of goods and services in the

1. What is the output of goods and services in the economy referred to as? a. Gross domestic product b. National income c. Inflation d. Velocity of money 2. When gross national product is divide...

Q: 1. What combination of income statements and balance sheets is needed

1. What combination of income statements and balance sheets is needed to create the statement of cash flows? a. Two most recent balance sheets and most recent income statement b. Most recent balance...

Q: 1. Which of the following does a common-size financial

1. Which of the following does a common-size financial statement allow analysts to do easily? a. Compare two firms in the same industry. b. Compare two firms with similar total asset amounts. c. Com...