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Quiz 3

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During the early years of the life stage of a typical corporation, the:Answer | Selected Answer: | corporation is a heavy provider of financial assets | Correct Answer: | firm is unable to establish a strong position with respect to its financial assets | |
Question 2
2 out of 2 points | | | Greater potential savings would result from a (n):Answer | | | | | Selected Answer: | shift to more middle-aged families | Correct Answer: | shift to more middle-aged families | | | | |
Question 3
2 out of 2 points | | | A saver who chooses securities as a savings medium and desires maximum safety of principal buys:Answer | | | | | Selected Answer: | government bonds | Correct Answer: | government bonds | | | | |
Question 4
2 out of 2 points | | | Capital formation refers to the:Answer | | | | | Selected Answer: | creation of physical productive facilities | Correct Answer: | creation of physical productive facilities | | | | |
Question 5
2 out of 2 points | | | When current savings of an economic unit exceed its direct investment in real assets, this is referred to as:Answer | | | | | Selected Answer: | savings surplus | Correct Answer: | savings surplus | | | | |
Question 6
2 out of 2 points | | | Which of the following is the most liquid form of savings?Answer | | | | | Selected Answer: | cash balances | Correct Answer: | cash balances | | | | |
Question 7
0 out of 2 points | | | A business deposit in a commercial bank represents:Answer | | | | | Selected Answer: | liability to the bank and capital to the business | Correct Answer: | a liability of the bank and an asset to the business | | | | |
Question 8
0 out of 2 points | | | Savings are the accumulation of cash and

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