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FIN 366 Final Exam Guide

For more course tutorials visit www.fin366.com FIN 366 Final Exam Guide 20 Question Multiple Choice and True/False Type 1. In current years, the number of commercial banks in the U.S. has been rising. a. True or False 2. Life insurance agencies also administer personal pension plans which comprise the proposal of guaranteed investment contracts (GICs). a. True or False 3. Which of the subsequent take place when administrators take on growth-oriented investments to boost an FI’s size that may be conflicting with stockholders’ value-maximizing objectives? a. Technology risk b. Operational efficiency c. Agency conflicts d. Diseconomies of scale e. Diseconomies of scope 4. Which is the fundamental goal of a commercial bank? a. long-term growth b. deposit growth c. bank safety d. long-term profit maximization 5. Under the Glass-Steagall Act commercial banks were allowed to countersign and trade Federal government securities and general obligation bonds of states and municipalities. a. True or False 6. All of the underneath are the key services of investment banking firms except a. making commercial loans b. bringing new security issues to market c. trading securities d. brokerage 7. Which of the underneath legislations permitted banks and thrifts to develop geographically across state lines by obtaining the benefits of unsuccessful thrifts? a. Bank Holding Company Act b. McFadden Act c. Financial Institutions Reform, Recovery, and Enforcement Act d. Douglas amendment e. Glass-Steagall Act 8. Savings deposits are a superior percent of financial support for small banks, compared to large banks. a. True or False 9. Social Security is a completely funded pension program.

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FIN 366 Final Exam Guide
20 Question
Multiple Choice and True/False Type

1. In current years, the number of commercial banks in the U.S. has been rising.
a. True or False

2. Life insurance agencies also administer personal pension plans which comprise the proposal of guaranteed investment contracts (GICs).
a. True or False

3. Which of the subsequent take place when administrators take on growth-oriented investments to boost an FI’s size that may be conflicting with stockholders’ value-maximizing objectives?
a. Technology risk
b. Operational efficiency
c. Agency conflicts
d. Diseconomies of scale
e. Diseconomies of scope

4. Which is the fundamental goal of a commercial bank?
a. long-term growth
b. deposit growth
c. bank safety
d. long-term profit maximization

5. Under the Glass-Steagall Act commercial banks were allowed to countersign and trade Federal government securities and general obligation bonds of states and municipalities.
a. True or False


6. All of the underneath are the key services of investment banking firms except
a. making commercial loans
b. bringing new security issues to market
c. trading securities
d. brokerage

7. Which of the underneath legislations permitted banks and thrifts to develop geographically across state lines by obtaining the benefits of unsuccessful thrifts?

a. Bank Holding Company Act
b. McFadden Act
c. Financial Institutions Reform, Recovery, and Enforcement Act
d. Douglas amendment
e. Glass-Steagall Act

8. Savings deposits are a superior percent of financial support for small banks, compared to large banks.
a. True or False

9. Social Security is a completely funded pension program.

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<strong>FIN</strong> <strong>366</strong> <strong>Final</strong> <strong>Exam</strong> <strong>Guide</strong>Click Here to Buy the Tutorialhttp://www.fin<strong>366</strong>.com/product-18-<strong>FIN</strong>-<strong>366</strong>-<strong>Final</strong>-<strong>Exam</strong>-<strong>Guide</strong>For more course tutorials visitwww.fin<strong>366</strong>fin<strong>366</strong>.com<strong>FIN</strong> <strong>366</strong> <strong>Final</strong> <strong>Exam</strong> <strong>Guide</strong>20 QuestionMultiple Choice and True/False Type1. In current years, the number of commercial banks in the U.S. has been rising.a. True or False2. Life insurance agencies also administer personal pension plans which comprisethe proposal of guaranteed investment contracts (GICs).a. True or False3. Which of the subsequent take place when administrators take ongrowth-oriented investments to boost an FI’s size that may be conflicting with stockholders’value-maximizing objectives?a. Technology riskb. Operational efficiencyc. Agency conflictsd. Diseconomies of scalee. Diseconomies of scope4. Which is the fundamental goal of a commercial bank?


a. long-term growthb. deposit growthc. bank safetyd. long-term profit maximization5. Under the Glass-Steagall Act commercial banks were allowed to countersignand trade Federal government securities and general obligation bonds of states andmunicipalities.a. True or False6. All of the underneath are the key services of investment banking firms excepta. making commercial loansb. bringing new security issues to marketc. trading securitiesd. brokerage7. Which of the underneath legislations permitted banks and thrifts to developgeographically across state lines by obtaining the benefits of unsuccessful thrifts?a. Bank Holding Company Actb. McFadden Actc. Financial Institutions Reform, Recovery, and Enforcement Actd. Douglas amendmente. Glass-Steagall Act8. Savings deposits are a superior percent of financial support for small banks,compared to large banks.a. True or False


9. Social Security is a completely funded pension program.a. True or False10. Which of the underneath is factual about private placement?a. The underwriting function is avoided.b. The extremes of high credit quality firms and low or unknown credit qualityfirms use private placements.c. The terms may be negotiated between the issuer and the investors.d. The sale of securities must be restricted to a small group of accredited investors.e. All of the above is true.11. Which of the underneath money market rates is calculated intimately for pointersof alterations in Federal Reserve monetary policy?a. Federal Fundsb. Treasury billsc. commercial paperd. banker's acceptances12. A Mexican importer of computer parts from Canada would take whichundertaking in the foreign exchange markets?a. supply Canadian dollarsb. demand pesosc. demand Canadian dollarsd. demand U.S. dollarse. none of the above


18. A foreign exchange rate are best depicted asa. the cost of a unit of foreign currency.b. the current interest rates of varying countries.c. the cost of a unit of one currency in terms of another currency.d. the expected change in prices of international goods.19. Which of the underneath is not a issue connected with international trade notencountered by domestic traders?a. One party in the trade has to be concerned about foreign exchange risk.b. No one legal authority has control over the transaction and legal remedies.c. Credit information on opposite parties is often incomplete.d. There is one currency involved.20. A shortage in the trade equilibrium of payments puts downhill pressure on theexchange rate.a. True or False

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