Match the following terms to the explanation provided. |
Hedge Fund | |
Credit Union | |
Commercial Bank | |
Financial services corporation | |
Common Stock | |
US Treasury Bills | |
Bankers' Acceptances | |
Preferred Stock | |
Certificate of Deposit | |
Commercial Paper | |
Bond | |
Mutual Fund |
A | Ownership of a large corporation by another company investor |
B | Investment with a set maturity date offered by commercial bank |
C | Short term debt negotiated among commercial banks |
D | Pooling of sophisticated investor funds to invest contrary to markets |
E | Financial services company providing loans and deposits publicly owned |
F | Long term debt of corporations or governments |
G | Short term debt of a large corporation |
H | Pooling of small investor funds for investment diversification |
I | Ownership of a large corporation by all types of investors |
J | Financial company providing consumer financial services such as credit cards |
K | Financial company providing loans and deposits owned by depositors |
L | Short term debt of federal government |
Hedge Fund : D Pooling of sophisticated investor
funds to invest contrary to markets
Credit Union : K Financial company providing loans and
deposits owned by depositors
Commercial Bank : E Financial services company
providing loans and deposits publicly owned
Financial services corporation : J Financial company
providing consumer financial services such as credit cards
Common Stock : I Ownership of a large corporation by
all types of investors
US Treasury Bills :L Short term debt of federal
government
Bankers' Acceptances : C Short term debt negotiated
among commercial banks
Preferred Stock : A Ownership of a large corporation
by another company investor
Certificate of Deposit : G Short term debt of a large
corporation
Commercial Paper : B Investment with a set
maturity date offered by commercial bank
Bond : F Long term debt of
corporations or governments
Mutual Fund: H Pooling of small investor funds for
investment diversification
Match the following terms to the explanation provided. Hedge Fund Credit Union Commercial Bank Financial services...
Drop-down options: (accruals, trade credit, commercial paper, bank loans) 12. Sources of short-term financing Short-term credit, or short-term financing, is any liability that is scheduled for repayment within one year. Among the sources of short-term funds are banks, suppliers, securities firms, and insurance companies. Their securities (or obligations) can take the form of bank loans, trade credit, commercial paper, and accruals. Some types of short-term financing are easier to obtain and manage than others. Financial managers should consider the costs...
Please tell me how to do this problem and give me the correct answer. Thanks Financial instruments are assets that have a monetary value or record a monetary transaction. To coordinate the exchange of capital between borrowers and lenders, financial instruments trade in the financial markets. These financial instruments can be categorized on the basis of their issuers, maturity, risk, and other factors Identify the financial instruments based on the following descriptions Description Issued by nonfederal government entities, these financial...
How can an investment bank experience a "run"? Because investment banks borrow a.short term in the repo market, the refusal of lenders to renew their repos is akin to a commercial bank's depositors withdrawing funds. b. short term from commercial banks, they will experience a "run" whenever commercial banks do. c. from the U.S. Treasury, a "run" can happen to an investment bank if the Treasury allows expenditures to exceed tax revenues. d. long term from a variety of lenders,...
1. Which of the following statements is true? A. The Palmetto Bank is an example of a commercial bank. B. Citigroup is an example of a exchange traded fund. C. Mutual of Omaha is an example of a pension fund. D. Goldman Sach is an example of a mutual fund. 2. Which of the following statements is true? A. CalPERS is an example of a financial services corporation. B. XLF is an example of an investment bank. C. AFCU is...
3. Financial instruments Financial instruments are assets that have a monetary value or record a monetary transaction. To coordinate the exchange of capital between borrowers and lenders, financial instruments trade in the financial markets. These financial instruments can be categorized on the basis of their issuers, maturity, risk, and other factors. Identify the financial instruments based on the following descriptions.Issued by nonfederal government entities, these financial instruments are debt securities that fund their capital expenditures. They are exempt from most taxes imposed...
2. Types of short-term bonds Short-term debt securities have a maturity of one year or less. The characteristics of the debt securities will depend upon the capital n borrower and the investment needs of the lender. In the following table, identify the term that best matches each type of short-term d being described Definit Term Tiger Telecommunications Company needs to borrow $1 million overnight and is willing to secure the loan with a portfolio of securities that the borrower will...
QUESTION 18 Match the different types of fixed income securities - Commercial Paper - TIPS A Short-term collateralized lending where the borrower offers financial securities as collateral and agrees to buy those securities back at a slightly greater value than the amount borrowed in (typically a few days. 3. Loans from one financial institution to another using money that is on deposit at a Federal Reserve Bank. - Repo or Repurchase Agreement • Bankers Acceptance - Revenue Bond . General...
QUESTION 15 A financial manager's financing decisions determine a. both the mix and the type of assets found on the firm's balance sheet b. the most appropriate mix of short-term and long-term financing c. both the mix and the type of assets and liabilities found on the firm's balance sheet the proportion of the firm's earnings to be paid as dividend d. QUESTION 16 Save and Suhmit to save and submit. Click Save All Answers to save all answers. type...
pate in the financial markets. Interpret the following statements. tory institutions, invest in mutual funds, purchas insurance policies, or invest in pensions? Flow of Funds Exercise Roles of Financial Markets and Institutions This continuing exercise focuses on the interactions of a single manufacturing firm (Carson Company) in the financial markets. It illustrates how financial markets and institutions are integrated and facilitate the flow of funds in the business and financial environment. At the end of every chapter, this exercise provides...
Examine the balance sheet of commercial banks in the following table. $ Billion Total $ Billion Total Assets Real assets Equipment and premises Other real estate $ 171.2 1.4 0.3 1.7 % $ 10, 267.3 329.0 84.9 % 2.7 Liabilities and Net Worth Liabilities Deposits Debt and other borrowed funds Federal funds and repurchase agreements Other Total liabilities Total real assets $ 210.1 180.0 1.5 338.7 $ 11,115. 0 2.8 92.0 Pinancial assets Cash Investment securities Loans and leases Other...