Exam 1: An Overview of the Changing Financial-Services Sector

Banks like the Medici Bank in Italy and the Hochstetter Bank in Germany were successful because __________ and they responded well to these new needs.

Bank equipment leasing activity involves:

The etymological roots of the word "bank" trace this word back to an Italian term referring to a "money-changer's table".

A bank which spans regions,nations,and continents,offering the widest menu of financial services is known as a _________ bank.

The principal functions and services offered by many financial-service firms today include:

Which one of the following nonbank financial-service institutions sell shares to the public representing an interest in a professionally managed pool of stocks,bonds,and other securities?

Jonathan Robbins has an account in a bank that does not have a physical branch.Jonathan does all of his banking business over the Internet.What type of bank does Jonathan have his account at?

_______________________ is a service provided by banks where the bank lends money to individuals for the purchase of durable and other goods.

Examples of imperfections in the financial system which allow banks to exist include which of the following?

During the financial crisis of 2007-2009,the collapse of Lehman Brothers and the bailout of Bear Stearns reaffirmed the importance of the fundamental principle of:

_______________________ refers to when a financial institution trades one form of currency for another.An example of this would be when the bank trades dollars for yen.

Chandriga Suppiah has opened a Roth IRA with North Carolina State Bank and plans on making regular contributions to this account until she retires.Which of the financial services is Chandriga taking advantage of?

Which of the following is not a purpose of bank regulation?

Banks which underwrite issues of new securities on behalf their corporate customers are known as ________ banks.

The First National Bank of Lakeland makes risky loans to businesses to expand and grow their businesses while at the same time issuing low-risk securities to their depositors and other fund providers.Which of the following services is this bank offering to their customers?

In the United States,a commercial bank qualifies as a "bank" under federal law if it offers:

According to Congress,a ____________ is defined as any institution that can qualify for deposit insurance administered by the FDIC.

The view that depositors hire banks to analyze the financial condition of prospective borrowers and continually evaluate the condition of outstanding loans is referred to as:

When a bank agrees to handle the cash collections and disbursements for a company and invest any temporary cash surpluses in interest bearing assets,they are providing ________ services to their customers.

___________________________ is an alternative to lending in which the financial institution purchases the equipment and rents it to its customers.