Business Finance Quiz 2

A contractual right to receive cash or another financial asset from another entity.

is also known as new issues market.

Accepts deposits and provide security and convenience to their customers.

Is a real or a virtual document representing a legal agreement involving some sort-of monetary value.

The sale of a new security directly to an investors or group of investors.

performs the essential economic function of channeling funds from those who are investors (savers of funds) to those who need funds (users of funds).

Is any contract that evidences a residual interest in the assets of an entity after deducting all liabilities.

Is an organized forums in which the suppliers and users of various types of funds can make transactions directly.

Consist of a network of institutions and facilities for trading debt securities with a maturity of 1 year or less.

Intermediaries that channel the savings of individuals, businesses, and governments into loans or investments.