BUSINESS FINANCE

Profit is important to businesses because:

• it improves businesses, cash balances
• it can be used to measure business size
• it is a measure of businesses, success
• businesses need to pay taxes to the government

Payment made for the use of borrowed money is called

• Financial Institution
• Creditors
• Interest
• Secured

A credit union...

• is a financial institution that focuses on taking deposits and using them to fund mortgages.
• is a non-profit institution owned by its members and provides financial services to its members.
• offers a broad range of deposit account and gives loans to individuals and businesses. 
• is a financial institution for students only

Banks provide which of the following EXCEPT

• debit cards

• loans

• check writing services

• government subsidies

Which financial institution is owned by its members?

• financial service company

• savings and loan association

• commercial bank

• credit union

Which is NOT a function of commercial bank?

• Providing financial and tax planning advice
• Print money
• Providing insurance
• Exchanging foreign currencies

What is the function of a central bank?

• Issuing shares

• controlling the money supply

• deciding the amount of government expenditure

• raising taxes

The money market involves the buying and selling of ___

• funds that mature in more than one year

• flow of funds

• stocks and bonds

• short-term funds

______ will received a fixed dividend rate as common stocks receive all the excess.

Is anything generally accepted as a means of paying goods and services and for paying depths or liabilities.

• Peso

• Bills

• Payment

• Money