TEST BANK FOR FINANCIAL MARKETS AND INSTITUTIONS, 14TH EDITION – ALL CHAPTERS WITH ANSWERS

Test bank for Financial Markets and Institutions 12th Ed
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ition by Jeff Madura
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1. Financialmmarketmparticipantsmwhomprovidemfundsmaremcalled
a. deficitmunits.
b. surplusmunits.
c. primarymunits.
d. secondarymunits.
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
QUESTIONmTYPE: MultiplemChoice
HASmVARIABLES: False
LEARNINGmOBJECTIVES: FMAI.MADU.15.01.01
NATIONALmSTANDARDS: UnitedmStatesm-
mBUSPROG.FMAI.MADU.15.03
STATEmSTANDARDS: UnitedmStatesm-mOHm-
mDISC.FMAI.MADU.15.02

KEYWORDS: Bloom's:mKnowledge
DATEmCREATED: 9/15/2016m6:38mAM
DATEmMODIFIED: 9/16/2016m1:14mAM


2. WhichmofmthemfollowingmismNOTmanmissuermofmbonds?
a. households
b. corporations
c. themU.S.mTreasury
d. governmentmagencie
s
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
QUESTIONmTYPE: MultiplemChoice
HASmVARIABLES: False
LEARNINGmOBJECTIVES: FMAI.MADU.15.01.01
NATIONALmSTANDARDS: UnitedmStatesm-
mBUSPROG.FMAI.MADU.15.03
STATEmSTANDARDS: UnitedmStatesm-mOHm-
mDISC.FMAI.MADU.15.02

KEYWORDS: Bloom's:mKnowledge
DATEmCREATED: 9/16/2016m1:15mAM
DATEmMODIFIED: 5/1/2018m11:55mAM
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,3. Behavioralmfinance
a. appliesmconceptsmfrommsociologymandmanthropologymtomthembehaviormofmmarketmparticipants.




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, b. studiesmthembehaviormofmfinancialmmarketsminmresponsemtomchangesminmFederalmReserve
mpolicy.
c. appliesmpsychologymtomfinancialmdecisionmmaking.
d. explainsmwhymmarketsmaremefficient.
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
QUESTIONmTYPE: MultiplemChoice
HASmVARIABLES: False
LEARNINGmOBJECTIVES: FMAI.MADU.15.01.01
NATIONALmSTANDARDS: UnitedmStatesm-mBUSPROG.FMAI.MADU.15.03
STATEmSTANDARDS: UnitedmStatesm-mOHm-mDISC.FMAI.MADU.15.02
KEYWORDS: Bloom's:mKnowledge
DATEmCREATED: 9/16/2016m1:18mAM
DATEmMODIFIED: 9/16/2016m1:21mAM


4. Thosemfinancialmmarketsmthatmfacilitatemthemflowmofmshort-termmfundsmaremknownmas:
a. moneymmarkets
b. capitalmmarkets
c. primarymmarkets
d. secondarymmarkets
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
QUESTIONmTYPE: MultiplemChoice
HASmVARIABLES: False
LEARNINGmOBJECTIVES: FMAI.MADU.15.01.02
NATIONALmSTANDARDS: UnitedmStatesm-
mBUSPROG.FMAI.MADU.15.02
STATEmSTANDARDS: UnitedmStatesm-mOHm-
mDISC.FMAI.MADU.15.02
KEYWORDS: Bloom's:mKnowledge
DATEmCREATED: 9/16/2016m1:21mAM
DATEmMODIFIED: 5/1/2018m11:56mAM


5. Fundsmaremprovidedmtomtheminitialmissuermofmsecuritiesminmthe:
a. secondarymmarket
b. primarymmarket
c. deficitmmarket
d. surplusmmarket
ANSWER: b
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, POINTS: 1
DIFFICULTY: Easy
QUESTIONmTYPE: MultiplemChoice
HASmVARIABLES: False
LEARNINGmOBJECTIVES: FMAI.MADU.15.01.01
NATIONALmSTANDARDS: UnitedmStatesm-
mBUSPROG.FMAI.MADU.15.03
STATEmSTANDARDS: UnitedmStatesm-mOHm-
mDISC.FMAI.MADU.15.02

KEYWORDS: Bloom's:mKnowledge
DATEmCREATED: 9/16/2016m1:24mAM
DATEmMODIFIED: 5/1/2018m12:26mPM


6. Whichmofmthemfollowingmismamcapitalmmarketminstrument?
a. amsix-monthmcertificatemofmdeposit
b. amthree-monthmTreasurymbill
c. amten-yearmbond
d. anmagreementmformambankmtomloanmfundsmdirectlymtomamcompanymformnine
mmonths

ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
QUESTIONmTYPE: MultiplemChoice
HASmVARIABLES: False
LEARNINGmOBJECTIVES: FMAI.MADU.15.01.02
NATIONALmSTANDARDS: UnitedmStatesm-mBUSPROG.FMAI.MADU.15.03
STATEmSTANDARDS: UnitedmStatesm-mOHm-mDISC.FMAI.MADU.15.02
KEYWORDS: Bloom's:mComprehension
DATEmCREATED: 9/16/2016m1:27mAM
DATEmMODIFIED: 9/16/2016m1:29mAM


7. Whichmofmthemfollowingmismammoneymmarketmsecurity?
a. Treasurymnote
b. municipalmbond
c. mortgage
d. commercialmpaper
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
QUESTIONmTYPE: MultiplemChoice
HASmVARIABLES: False
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