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Intro to Finance

Total questions: 10

Worksheet time: 8mins

Name
Class
Date
1.

Definition of Finance

a)

It can be defined as the science and art of managing money.

b)

These are deposit taking financial institutions that also extend credit to the consumer market.

c)

the science on study of the management of funds’ and the management of funds as the system that includes the circulation of money, granting of credit, making of investments and provision of banking facilities

d)

it provides mechanism where savers can put their excess funds through deposits, which will earn interests as incentives.

2.

They are ones who have extra to give or persons who receives more than they spend

a)

Banks

b)

Deficit units

c)

Surplus units

d)

Users

3.

Savers include:

a)

Investors

b)

Household

c)

Individuals

d)

Businesses

4.

Examples of Financial Intermediaries are :

a)

Banks

b)

Insurance companies

c)

Stock brokerage firms

d)

Government

5.

These are sets of institutions that helps savers and buyers to exchange funds

(a)  

6.

products offered by insurance companies that protects the insured from loss or damage to properties.

(a)  

7.

What are equity securities?

a)

These are financial assets that entitle their owners to a stream of interest payments.

b)

A financial instrument that signifies ownership (equity) in a corporation and represents claim on its proportional share in the corporation's assets and profits.

c)

These are investments that are pooled, and the funds are invested by professional managers for a fee.

8.

It provides a system for the trading of equity securities of publicly listed companies.

(a)  

9.

An institution where you can trade (buy and sell) stocks

(a)  

10.

An individual or firm that acts as an intermediary between an investor and a securities exchange in trading.

(a)