estions this section. Describe the role of mutual funds as financial intermediaries in the economy.

Which of the following acts as an intermediary between the savers and investors' by mobilizing funds between them? a. Financial Markets b. Households c. Financial Instruments d. Government

The essential role of ________ is to bring together the net users of funds and the net savers of funds.   a.financial markets   b.financial institutions c.primary markets   d.financial claims

Explain the roll of debt and equity markets in the economy. How do they interact with both Primary and Secondary Markets?  What roles do debt and equity markets and primary and secondary markets play in the “flow of funds?”

Which of the following is a fund based financial service? O a. Merchant Banking O b. Issue Management O c. Credit Rating O d. Consumer Credit

One of the roles of financial markets is to: O A. conduct fiscal policy. O B. transfer funds from lenders to borrowers. OC. record statistics for official use.

Which of the following constitutes an internal source of funds Oa. Corporate bonds b. Common stock Oc Commercial paper O d. Retained earnings and amortization cash flow

Illustrate with a diagram the flow of funds from lenders to borrowers in a financial system. Diagram must include:   Savers Borrowers Financial markets Function of the financial intermediaries Function of the financial markets Direct finance Indirect finance

(a. investment banking   b. insurance firms  c. commercial banking d. mutual fund  e. pension fund) is a transformer of short term liabilities to long term assets.       e     d     b     c     a

What is the relationship between financial reports and capital markets?