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

Banks which function under a federal charter through the Comptroller of the Currency in the United States are known as ____________ banks.

Which of the following activities do the banks perform as dealers in arranging for risk protection for customers from third parties?

The Bartholemew Bakery receives a lot of payments in cash.They deposit it in their local bank who invests the money in an interest bearing account until it is needed to pay bills.Which of the financial services banks offer,is the Bartholemew bakery taking advantage of?

Money-center banks usually service local communities,towns,and cities,offering a narrow menu of services to the public.

According to the delegated monitoring theory,the bank serves as an agent on behalf of its depositors,monitoring the financial condition of those customers who receive loans from them.

The phenomenon of convergence refers to:

Which of the following is considered a depository financial institution?

Which of the following is not a current trend in the banking industry?

The Charleston Southern Bank makes loans for families to purchase new and existing homes but does not take deposits.What type of bank is this most likely to be?

Banks that sell deposits and make loans to businesses,individuals,and institutions are known as _____________ banks.

A(n)________ offers loans to commercial enterprises (such as appliance dealers)and to individuals and families using funds borrowed in the open market or from other financial institutions.

Which of the following has been an important trend regarding consolidation and geographic expansion in banks?

Banks which offer virtually all financial services are known as universal banks.

A bank which manages the investment portfolio and pays the bills of an elderly customer who is unable to do it for him or herself is carrying out the __________ of banks.

Early European banks were places for safekeeping of wealth because:

When a local merchant sells the accounts receivables they hold against their customer to a bank this generally known as _______.

The role performed by banks in the economy in which they transform savings into credit is known as the intermediation role.

Which of the following types of banks would most likely offer the largest number of financial services virtually?

A study of history shows that one of the first services offered by banks was:

A bank that offers its services only over the Internet is known as a(n)_______.