One Fish
PayPal is an example of which of the following?
What is mobile commerce?
The U.S. money supply is monitored by what government entity?
What is federal reserve?
Bonds are:
What is a formal contract to repay borrowed money with interest at fixed intervals?
The company Alexco just hired a new employee named Joy. As part of her signing bonus, Joy received 20 shares of Alexco stock. Over the year coming year Joy watches the value of her shares go up (and sometimes down) on the NASDAQ. The company, Alexco, must be:
What is a public company?
Good friends Nick, Ricardo and Lauren start a private accounting firm together which they manage and own jointly. Their company may be set up as:
What is a partnership?
Your company decides to hire a new employee named Philip. Philip makes $40,000 salary for the year. The $40,000 Philip earns is:
What is a measurement of his work's value to the company?
The barter system is rarely used today because:
What is of the necessity for both parties to want something the other can provide at the same time.
Banks and credit unions serve as:
What is intermediary betweens savers and borrowers?
Although money is really just a fancy piece of paper, it is demanded throughout society. Money is valued for all of the following reasons EXCEPT:
What is it is easy to counterfeit?
The Federal Reserve has tools at its disposal to help regulate the financial system. Which tool might they use to help stabilize prices?
What is regulation of interest rates?
Shannon went to the pet store and bought a dog bowl. The bowl cost $15 and Shannon used a $20 bill to pay for the bowl. She received $5 back in change during this transaction. The $15 price of the dog bowl:
What is a precise measurement of the value of the dog bowl?
You pay your friend $50 in exchange for the awesome shoes she is selling. Your friend puts that $50 into her backpack. Two weeks later she uses the $50 to buy a book for class. This is an example of:
What is store of value?
The Federal Reserve lowers the reserve requirement from 7 percent to 6 percent. Consequently banks must set aside less money to meet the reserve requirement. They have more money to lend to their customers and are able to lower the rate of interest they charge. These conditions make it less expensive for people and businesses to borrow money. Because they can borrow more, they can spend more. If people are spending more, prices go up. With this action, the Fed has decreased the likelihood of:
What is recession?
Sara would like to buy her first car (a beautiful blue Honda Civic). The car is priced at $20,000 and she needs to come up with a down payment of $3,000. Sara starts by looking at her most liquid assets to come up with the necessary down payment. Which of the following are the most “liquid” of Sara’s options:
What is $300 in her checking account?
Bank Of The North issued many large loans to their customers. An audit of the bank’s records shows that the bank is now below the Federal Reserve’s minimum reserve requirement. The Fed lends the bank the amount necessary to bring its reserves up to the required level. Bank Of The North will have to pay interest on the money that it borrowed from the Fed. The interest rate that is paid to the Fed on this loan is called the:
What is discount rate?
f you were given the task of totalling all the M1 money in circulation in the US, which of the following would you include in your calculations?
What is demand deposits and other checking accounts?
If you were given the task of totalling all the M2 money (excluding M1) in circulation in the US, which of the following would you include in your calculations?
What is savings accounts?
The Federal Reserve has a number of goals including low unemployment, price stability and sustainable economic growth. What does the Fed use to reach these goals?
What is monetary policy tools?
If you purchase stock in a firm, you become:
What is a shareholder of the firm?
Beverly’s new fusion restaurant has been in business for 6 months. It is doing great! Each weekend she has more reservation requests than the restaurant can handle. Beverly decides she would like to raise some capital to help the restaurant grow to keep up with the demand. What would be an appropriate choice for Beverly to consider in order to raise that capital?
What is venture capital firm?
A business owner decides to take out a bank loan instead of issuing stock in order to raise funds for the business. Why might the owner have made that decision?
What is the current business owner retains complete ownership of the business?
Leondra looks over her Algebra homework and says to herself “I’m probably not going to be able to do this - I’m just not a math person.” Leondra is exhibiting a
What is a fixed mindset?
The newly discovered island of Mogran is in the process of setting up a new country and establishing a monetary system. The Mogran people start talking about the currency they would like to create. The first proposal is to issue the Mogran Moola (their new currency) in only 3 denominations of paper bills (100, 500 and 1000 Moolas) but no coinage. In order to save time and resources they will print their currency on a heavy stock cardboard. The bills will be about the size of a business card so that the Mogran people will be able to easily carry it with them in their wallets. Why will the Mooola not function as a medium of exchange?
What is it is not easily divisible?
You pay your friend $50 in exchange for the awesome shoes she is selling. Your friend puts that $50 into her backpack. Two weeks later she uses the $50 to buy a book for class. This is an example of:
What is store of value?
In a tiny village, on the coast of South America, early inhabitants used sea shells, as money. Some of these shells were very beautiful and fragile. Everyone agreed that the shells were valuable and the people utilized them in much the same way we use money today. The fragility of the shells and the fact that a shell is difficult to split into smaller denominations would make these sea shells unfit to act as money today because sea shells do not act as a:
What is medium of exchange?