Question 1   Multiple Choice (1.0000 points)
  Question: Which of the following topics are included in a broad-based study of finance?
Corporate finance
Employment policies for brokerage firms
All of the above
A and B only

Question 2   Multiple Choice (1.0000 points)
  Question: A college-level course in finance may be best described as:
    A study of how to manage money.
An academic discipline that teaches one all the ways to become wealthy.
A course that is useful to business majors, but provides little value to art or history majors.
A subject that benefits only those who aspire to work in large corporations.
One that qualifies students to work in banks and brokerage firms, but not for manufacturers.

Question 3   Multiple Choice (1.0000 points)
  Question: Securities that mature in more than one year are traded in:
    Money markets.
Capital markets.
Derivatives markets.
Swap markets.
Treasury markets.

Question 4   Multiple Choice (1.0000 points)
  Question: Which of the following are functions performed by securities markets?
    Derive prices for securities traded in a market
Insure traders against losses suffered during a market crash
Set monetary policy for the United States
Provide credit to all who wish to borrow
Channel funds to all borrowers who desire loans

Question 5   Multiple Choice (1.0000 points)
  Question: Which of the following is not a financial institution?
    Federal Reserve banks
Thrift institutions
The New York Stock Exchange
Finance companies
The United States Treasury Department

Question 6   Multiple Choice (1.0000 points)
  Question: In a typical life cycle, people spend more than their current income at which stage?
    Early in their infancy.
During their retirement years.
In their early 40s.
While working in their mid 50s.
Within a short time after they die.

Question 7   Multiple Choice (1.0000 points)
  Question: The primary role of a financial system is to:
    Channel funds from savers to borrowers who need funds for investment projects.
Regulate the banking system.
Provide employees in financial institutions with a code of ethics.
Enable financial managers to evaluate investment projects with a system that always selects the correct opportunity for their firm.
Make savvy investors rich.