Quiz 1 :
A Modern Financial System: An Overview

The exchange of goods and services is made more efficient by:

Short selling is:

The term 'medium of exchange' for money refers to its use as:

The role of money as a store of value refers to:

Money increases economic growth by assisting transfers from:

Financial markets have developed to facilitate the exchange of money between savers and borrowers.Which of the following is NOT a function of money?

Buyers of financial claims lend their excess funds because they:

Sellers of financial claims promise to pay back borrowed funds:

A savings-surplus unit is an entity:

The process of facilitating the flow of funds between borrowers and lenders performed by the financial system:

Both real and financial assets have four principal attributes that are significant factors in the investment decision process.These are: I)liquidity II)capital gain III)risk IV)return or yield V)time pattern of future cash flows VI)price and cash flow volatility

Which of the following is NOT associated with characteristics of shares?

A financial institution that obtains most of its funds from deposits is a/an:

Institutions that specialise in off-balance-sheet advisory services are called:

A financial intermediary that receives premium payments which are used to purchase assets to cover future possible payments is a:

Financial institutions whose liabilities specify that,in return for the payment of periodic funds to the institution,the institution will make payments in the future (if and when a specified event occurs)are:

Financial institutions that raise the majority of their funds by selling securities in the money markets are:

Financial institutions that are formed under a trust deed and attract funds by inviting the public to buy units are:

Which of the following is NOT a term associated with shares?

Which of the following is NOT a characteristic commonly associated with preference shares?