Quiz 1 Finman

(a)   composed of banking institutions and nonbank financial intermediaries, including commercial banks, specialized government banks, thrift and rural banks, offshore banking units, building and loan associations, investment and brokerage houses.

(a)   consists of institutional units and markets that interact, typically in a complex manner, for the purpose of mobilizing funds for investment, and providing facilities, including payment systems, for the financing of commercial activity.

The banking and finance sector performs a critical function in the Philippine economy as it is primarily responsible for the mobilization of domestic savings and the conversion of these funds into directly productive investments.

• True

• False

The following are examples of Informal lenders except:

• Loan sharks

• Relatives

• Friends

• Cooperative

The following are examples of Formal lenders except:

• Cooperative

• Securities and exchange commission

• Bangko Sentral ng Pilipinas

• Landlords

The following are components of Financial Institutions except:

• Financial Institutions

• Financial Assets

• Financial markets

• Financial resources

Reduces risk is one of the roles of financial system.

• True

• False

Assist in capital formation is one of the roles of financial system.

• True

• False

Improves standard of living is one of the roles of financial system.

• True

• False

capital formation is one of the functions of financial system.

• True

• False