Save
Busy. Please wait.
Log in with Clever
or
show password
Forgot Password?
Don't have an account?  Sign up 
Sign up using Clever
or
Username is available taken
show password


Make sure to remember your password. If you forget it there is no way for StudyStack to send you a reset link. You would need to create a new account. Your email address is only used to allow you to reset your password. See our Privacy Policy and Terms of Service.

Already a StudyStack user? Log In

Reset Password
Enter the associated with your account, and we'll email you a link to reset your password.
focusNode
Didn't know it?
click below
 
Knew it?
click below
Don't Know
Remaining cards (0)
Know
0:00
edit
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.

  Normal Size     Small Size show me how

BUS 300 Exam 1

Ch. 1,2,3,5,6

QuestionAnswer
M1 includes coins, currency, demand deposites, and checks
M2 includes M1, savings accounts, small CD's
What is money? Anything that is generally accepted as a means of payment.
What is Liquidity? Converting an asset into cash without loss. (Ex. cash, savings, checking)
Structure of Interest Rates Relationship between the time and yields
Role of Interest Rates? The cost of credit. Price paid to use someone else's money. Allocate scarce credit, Short term rates (Money Markets < 1yr), Long term rates (Capital Markets > 1yr)
Negotiable CD are? Amounts of $100,000 or more whose terms are individually negotiated between bank and saver.
A financial intermediary transfers... savings to borrowers.
Financial Intermediaries include... Commercial Banks, Credit Unions, Pension Plans, Life Insurances, Savings & Loan Assoc., Mutual Banks, Money Markets (Mutual Funds)
Money Market Instruments include... Negotiable CD's, U.S. Treasury Bills, Commercial Paper (All less than 1 yr)
A Pension Plan that grants Mortgage Loans... is an example of a financial intermediary.
T or F Money Markets are markets where equity and securities with maturities within one year are traded? True
First sale of common stock is to general public... initial public offering (IPO)
Middleman to channel money from investor to to firms and governments that need the funds. Investment Banker
Example of Investment Bankers. Goldman, Sacks & Co., Donaldson, Lufkin & Jenerette Securities Corp.
Underwriting is... The guaranteeing of the sale of a new issue of securities.
Underwriters do... Firm committment, Guaranteed sale, and bears the risk of sale.
Yahoo! had several investment bankers, this is called... A Syndicate (A group formed to market a new issue of securities.)
Originating House is... Investment Banker who makes an agreement to sell a new issue and forms a syndicate to sell the the sucurities.
Securities and Exchange Commission (SEC) is... A Government agency that enforces the federal securities laws.
Best Effort Agreement is... Contact with investment bankers for the sale of securities in which the investment banker does not guarantee the sale, but does agree to make the best effort to sell the securities.
Private Placement is... Nonpublic sale of securities to a financial institution.
The purpose of regulation to protect the investing public, help prevent fraud, and protect you from your own mistakes is... Full-disclosure laws
10-K Report Requires annual report filed with the SEC by publicly held firms.
Securities Investor Protection Corp (SIPC) Federal agency that insures investors against failure by brokerage firms.
Sarbanes-Oxley Act of 2002 did what? Increased sidclosure to share holders (2 days for info), created a firewall between investment bankers.
Purpose of the Federal Reserve? Also known as Monetary Policy Achieve stable prices, full employment, and economic growth through the supply of credit and money.
Board of Governors 7 Controlling body of the Federal Reserve. Serve 14 years. Appointed by the President of the U.S.
How many District Banks are there? 12. They compose the Federal Reserve.
T or F Commercial banks may buy and sell reserves in the federal funds market? True
T or F The ability to change reserve requirement is a pwerful tool the Feds use frequently. False
If deposites are withdrawn from a commercial bank, it may obtain reserves by.. lending funds in the federal funds market.
The structure of the Federal Reserve includes.. All commercial banks, the 12 district banks, the board of governors.
The Federal Reserve may conract the money supply by... selling securities and lowering reserve requirements
Change in the money supple = Change in excess reserves / Reserve Requirement
Tools of Monetary Policy are... Reserve Requirement, Discount Rate, Open Market Operation (Quantitative Easing)
What is Open Market Operations? Buying and selling of U.S. Treasury securities by the Federal Reserve.
If a Nation has a surplus in its current account... it exports more goods that it imports, and the value of its currency should rise.
Deficit is... Disbursments exceeding receipts
Surplus is... Receipts exceeding disbursements
Created by: ckleidosty
Popular Finance sets

 

 



Voices

Use these flashcards to help memorize information. Look at the large card and try to recall what is on the other side. Then click the card to flip it. If you knew the answer, click the green Know box. Otherwise, click the red Don't know box.

When you've placed seven or more cards in the Don't know box, click "retry" to try those cards again.

If you've accidentally put the card in the wrong box, just click on the card to take it out of the box.

You can also use your keyboard to move the cards as follows:

If you are logged in to your account, this website will remember which cards you know and don't know so that they are in the same box the next time you log in.

When you need a break, try one of the other activities listed below the flashcards like Matching, Snowman, or Hungry Bug. Although it may feel like you're playing a game, your brain is still making more connections with the information to help you out.

To see how well you know the information, try the Quiz or Test activity.

Pass complete!
"Know" box contains:
Time elapsed:
Retries:
restart all cards