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Business Finance

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MARITONI MEDALLA
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36 views

Business Finance

Uploaded by

MARITONI MEDALLA
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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1

1. It is described as the first working capital asset.


Cattle
Gold
Commodity Money
Paper Money
2. Mike used all his coins in bis piggy to buy a toy. What is this type of exchange called?
Credit
Debt
Money
Debit
3. The following best describes cowrie shell, except:
It is considered as the longest currency in history.
It is extended until the 20th century in parts of Africa.
It was used in China around BCE 1766 – 1027(Hang Dynasty).
None of the above.
4. The following best describe coinage, except:
It marked a very important stage in the development of money.
The government was granted the power to mint coins.
It is the conversion of metals into coins of a dissimilar weight.
They are carefully processed and stamped according to the standard weight and fineness.
5. It is like a credit card issued by a particular store and can be purchased in the same store.
Store card
Cash card
Gift card
Debit card
6. Kevin purchased concert tickets with his debit card is an example of the ______ function of money.
Store of value
Medium of exchange
Mean as deferred payment
Standard of value
7. What is the first Chinese dynasty to circulate paper money as a medium of exchange?
Yuan Dynasty
Hang Dynasty
Tang Dynasty
Ming Dynasty
8. Jenny and Aaron wanted to go to Disneyland. If they clean their rooms and the garage, their mother will accept
their chores as payment for the Disneyland tickets. What is this type of exchange?
Money
Credit
Coins
Barter
9. What term describes the coins and paper bills used in the exchange of goods and services?
Money
Debit
Coinage
Barter
10. It is a re-loadable prepaid electronic debit card. It only allows the withdrawal of money through an ATM.
Store card
Cash card
Gift card
Debit card
11. It is issued by the bank certifying that the account of the person issuing has available funds.
Business Check
Personal Check
Certified Check
Travelers Check
12. Jessica doesn’t currently have enough savings to buy a car, so she went by taking a loan from the bank. What is
this type of finance?
Personal Finance
Business Finance
2

Direct Finance
Personal and Direct Finance
13. Which of the following best describes commodity money?
Precious metals are used as money.
Precious metals and agricultural products are used as money.
Money that has intrinsic value.
None of the above.
14. Which of the following is an example of indirect finance?
Angela bought a government bond with the help of a financial expert.
Gregory deposited funds into his checking account, and the bank used the funds to issue a loan to others.
AYZ corporation bought 5% of the common stock of another corporation.
Sam lend his money to Tom who then used the funds to buy stocks in the secondary financial market.
15. What type of loan is made to a borrower to pay for her home improvement expenses?
Personal loan
Mortgage loan
Business loan
Revolving loan
16. Which of the following involves indirect finance?
A corporation takes out loans from a bank.
People buy shares directly at the stock market.
The corporation buys commercial paper in a secondary market.
All of the answers are correct.
17. Which of the following is not an example of a financial intermediary?
Commercial bank
Credit unions
Stock market
Fund managers
18. Barter became inconvenient because:
The necessity of the double coincidence of wants.
A large amount of money is required.
The medium of exchange used is difficult to transport every day.
The resources are limited.
19. In direct finance, who is the surplus unit?
Direct security
Lender
Borrower
Payee
20. The person buying the traveler’s check and will use it as a form of money.
Drawee
Maker
Payee
None of the above
21. Anna makes 165 pesos per day for her work as a street sweeper. If he trades a day of his work for a bottle of soda
for 160 pesos, he is almost paying the same price as his one day of work. What function of money is this?
Store of value
Medium of exchange
Mean as deferred payment
Standard of value
22. Which of the following best describes multi-currency prepaid card?
It can load up to 6-15 different currencies.
It is a simple credit granted by stores to encourage customers to spend more in their store.
Once it is fully used, it has no value at all.
It can be bought at many stores and online.
23. Albert wants doesn’t have enough savings; however, he needed to replace his broken expensive machines. He
needs:
Long term finance
Personal finance
Indirect finance
Finance for non-profit organizations
3

24. What is the number 1 on the check?


Drawer
Payee
Drawee
Issuer
25. What is the number 2 on the check?
Drawer
Payee
Drawee
Issuer
26. What is the number 4 on the check?
Date
Check Number
Account Number
Routing Number
27. What is the number 8 on the check?
Name of the Payee
Issuing bank
Amount in Numbers
Reason for payment
28. What is the number 7 on the check?
Routing Number
Check Number
Account Number
Bank Number
29. What is the number 6 on the check?
Signature of the Payee
Signature of the Drawer
Note of the Drawer
None of the answers are correct
30. What is the number 9 on the check?
Routing Number
Check Number
Account Number
Bank Number

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