FIN350 - Chapter 1B

1.    The primary function of the Financial System is to expedite the flow of financial capital from _________.

The largest amount of savings in the U.S. is provided by _________.

1.    The U.S. Monetary System is comprised of a/an ______ and _______.

When corporations raise funds by selling (issuing) common stock directly to specific investors, it is known as a/an ___.

The majority of funds held in checking accounts and certificates of deposits (CD’s) at banks is deposited by ________.

Marketing and transferring financial assets in the U.S. financial system is the role of _______________.

Debt securities with maturities of one year or less are issued and traded in the __________.

When corporations raise funds by selling (issuing) new common stock in the primary market, it is known as a/an _____.

Accumulating savings, and lending/investing savings in the U.S. financial system is the role of  ___________.

“Debt securities” is another term used to refer to ___________.

A _________ markets and facilitates the transfer of existing or seasoned instruments and securities.

What are the three main sources of savings in the U.S.?

In finance, the term “securities” refers to _________.

“Equity securities,” also called _________, represent ownership shares in a corporation.

The transfer of existing debt (bonds and mortgages) and equity securities between investors occurs in the ______.

The four major components of the U.S. financial system are:

1.    One of the most significant functions of the monetary system, within the financial system is ____________.

The initial offering or origination of debt and equity securities takes place in the __________.

Debt securities with maturities longer than one year and corporate stocks are issued or traded in the __________.