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WorksheetsOverview and Interest Rates
Total questions: 10
Worksheet time: 3mins
these are the people who allocate their savings to productive investment opportunities
Firms
Investors
Government
Financial Intermediaries
These are the markets for short-term, highly liquid debt securities.
Physical asset markets
Spot markets
Money markets
Primary markets
_____, which are also called underwriters, help companies raise capital by helping corporations design securities with features that are currently attractive to investors. They buy these securities from the corporation and resell them to savers.
Investment banks
Central Bank
Credit unions
Mutual funds
The powers and functions of the Bangko Sentral shall be exercised by the Bangko Sentral _____.
Monetary Board
Board of Directors
Incorporators
Board of Bankers
Bangko Sentral shall also promote and maintain _____.
monetary stability and the convertibility of the peso
monetary convertibility of the peso
fixed foreign exchange rate of the peso
fiscal stability and taxability of income
The price at which the stock would sell if all investors had all knowable information about a stock.
Market price
Intrinsic price
Equilibrium price
Efficient Price
The possibility that the issuer or borrower will not pay the contractual interest or principal as scheduled
default risk premium
liquidity premium
marketability premium
maturity risk premium
All government issued security has a maturity risk premium
TRUE
FALSE
Not all securities issued by the corporation have a liquidity premium component
TRUE
FALSE
This theory says that the market for loans is segmented based on maturity and that the supply of and demand for loans within each segment determine its prevailing interest rate
expectations theory
liquidity preference theory
market segmentation theory
flat yield theory
