Exam 13: Managing Financial Resources

If the Fed wants to decrease the money supply, it can _____.

How do finance companies differ from insurance companies?

A financial plan shows calculations for the amount of funds that a company needs for a specified period.

If you're starting a new business and you borrow money from family members, you should be sure to _____.

If you want to start a small business and need a bank loan, your banker will want primarily to see your mission statement.

A market index is a written offer to sell securities that describes the business and operations of the issuer.

To bank at a(n) _____, you must be linked to a particular group.

New businesses are generally financed by _____.

The distinction of _____ usually designates an individual stockbroker.

The _____ is by far the most widely reported market index.

_____ stock gives its owner the option of exchanging it for common stock.

Which of the following is not true of the SEC (Securities Exchange Commission)

Which of the following is true about the NASDAQ (National Association of Securities Dealers Automated Quotations)

Privately held for 18 years, Superior Chemicals Inc. has finally decided to go public. The owners are in the process of deciding whether to use debt or equity financing to finance growth after the initial public offering. -If Superior sells stock, it will be opting for debt financing.

Credit unions are widely used because they're easier to deal with than banks.

Debt securities that require annual interest payments to bond holders are called _____.

Finance companies can be characterized as deposit institutions because they provide traditional banking services.

When Pete Peterson took out a small business loan, the bank asked for security in the form of _____.

If your company does well, stockholders may benefit either through appreciation in the value of their stock or through distributed earnings called _____.

What are the two functions of a financial plan?