BUSN602 Midterm Exam Set 2
Click Link Below To Buy:
Contact Us:
Hwcoursehelp@gmail.com
Return to Assessment List
Part 1 of 1 - 100.0
Points
Question 1 of 20 5.0
Points
Jill Clinton puts $1,000 in a savings passbook
that pays 4% compounded quarterly. How much will she have in her account after
five years?
A.$1,200.50
B.$1,220.20
C.$1,174.80
D.$1,217.50
Question 2 of 20 5.0
Points
An increase in inflation should:
A.increase
the demand for loanable funds
B.decrease
the interest rate on loans
C.increase the interest rate on
loans
D.none
of the above
Question 3 of 20 5.0
Points
Economists use a ___________________ framework to
explain how the prices and quantities of goods and services are determined in a
free-market economic system.
A.opportunity
B.marginal
cost
C.supply-and-demand
D.anti-monopoly
E.none
of the above
Question 4 of 20 5.0
Points
The future value of $100 received today and
deposited at 6 percent for four years is
A.$126.
B.$
79.
C.$124.
D.$116.
Question 5 of 20 5.0
Points
All of the following are important components of
a financial system except:
A.government
and private policy makers
B.a
monetary system
C.the international monetary fund
D.financial
institutions and markets
Question 6 of 20 5.0
Points
In general, the effective rate of interest on a
discount loan
A.is
lower than that on standard loan
B.is higher than that on a
standard loan
C.is
identical to that on a standard loan
D.none
of the above
Question 7 of 20 5.0
Points
Because of the financial crisis that began in
2008, by the end of 2009:
A.unemployment
was in excess of 10 percent
B.many
homeowners owed more money on their mortgage loans than the their homes were
worth
C.home
mortgage foreclosure rates and personal and business bankruptcies were
increasing
D.over
100 banks in the U.S. had already failed with over 500 more being considered
financially weak
E.all of the above are true
Question 8 of 20 5.0
Points
Which of the following statements about
greenbacks is false?
A.Greenbacks
were money issued by the U.S. government to help finance the Civil War.
B.Greenbacks
were fiat money.
C.Greenbacks
were not redeemable for gold or silver.
D.All of the above statements are
correct.
Question 9 of 20 5.0
Points
____________ is anything generally accepted as a
means of paying for goods and services and for paying off debts. It must be
easily divisible, so that exchanges can take place in small or large
quantities; relatively inexpensive to store and transfer; and reasonably stable
in value over time.
A.A
financial asset
B.A
real asset
C.money
D.all
of the above
E.none
of the above
Question 10 of 20 5.0
Points
List the five major capital market securities
described in the chapter 7.
Question 11 of 20 5.0
Points
Which of the following is not an asset of
depository institutions?
A.cash
B.unsecured
loans
C.time
deposits
D.U.S. government securities
Question 12 of 20 5.0
Points
Identify and describe the factors, in addition to
supply and demand, that determine interest rates.
Question 13 of 20 5.0
Points
You need $8,000 four years from now for a down
payment on your future house. How much money must you deposit today if your
credit union pays 5% interest compounded annually? Pick the closest answer.
A.$6,269.59
B.$6,578.95
C.$6,394.12
D.$6,189.83
Question 14 of 20 5.0
Points
When investors expect __________ inflation rates
they will require __________ nominal interest rates so that a real rate of
return will remain after the inflation.
A.higher, higher
B.higher,
lower
C.lower,
higher
D.none
of the above
Question 15 of 20 5.0
Points
The major factor that determines the volume of
savings, corporate as well as individual, is the:
A.volume
of spending
B.level of national income
C.amount
of private pension plans
D.amount
of life insurance policies
Question 16 of 20 5.0
Points
Your college has agreed to give you a $10,000
tuition loan. As part of the agreement, you must repay $12,600 at the end of
the three-year period. What interest rate is the college charging?
A.8%
B.9%
C.11%
D.6%
Question 17 of 20 5.0
Points
Identify the objectives of the national economic
policy.
Question 18 of 20 5.0
Points
The three functions of money are:
A.medium
of exchange, store of value, and measure of liquidity
B.conduit
for international trade, store of value, and standard of value
C.medium of exchange, store of
value, and standard of value
D.inflation
hedge, measure of liquidity, and medium of exchange
Question 19 of 20 5.0
Points
$1,000 invested today at 6% interest would be
worth ________ one year from now
A.$1,600
B.$1,060
C.$1,160
D.$1,006
E.none
of the above
Question 20 of 20 5.0
Points
If the money supply and total demand increase
faster than output, prices will:
A.fall
B.stay
the same
C.rise
D.reflect
lower inflation
No comments:
Post a Comment