Answered: The commodities or assets that are…

The commodities or assets that are traded in financial market are called Select one: a. Financial Institution b. Financial System c. Financial Service d. Financial Banks e. None of the options

Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)

7th Edition

ISBN:9780357033609

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter11: Investment Planning

Section: Chapter Questions

Problem 3FPE

See similar textbooks

Related questions

Q: Assume that Fielder Enterprises uses the following headings on its balance sheet. a. Current…

A: Answer: 1 a 2 b 3 f 4 a 5 f 6 h 7 j 8 d 9 a 10 f

Q: The principle of conservatism is concerned with Oa. the company's procedures for recording…

A: conservatism principle is one of the basic principle of accounting that provides guidance on how…

Q: Funds needed for purchase inventory, pay short-term debt, and day-to-day operating expenses are…

A: Currents Assets are those assets which can be converted into cash within an accounting period and…

Q: s not useful for analyzing changes in financial state s useful in analyzing relationships within a…

A: Vertical analysis of financial statements is a where each line item is expressed as a percentage…

Q: Financial market facilities the price discovery of the trade financial assets. A. True B. False

A: The term "financial markets" refers to any marketplace where securities are traded. Financial…

Q: d o

A: The correct answer is C) Traffic speed of suppliers

Q: The place where funds are transferred from one section to the other of financial system Select one:…

A: Funds are referred to as money. Through a particular place these funds can be transferred from one…

Q: * ?Which one of the following is correct The term 'Sales' include the sales of fixed assets for cash…

A: Sales means the amount recorded in books as revenue earned by selling the goods or services. Account…

Q: Two statements are given below about Marketable Securities: Statement 1: Marketable securities does…

A: Solution:- Marketable securities are the short term form of financial instrument to invest in, such…

Q: Current Assets do not include Select one: a. Inventories b. All the options c. Trade Receivables d.…

A: Current assets are assets that are easily converted into cash within one year.

Q: The instrument in figure 2 exchanges cash flows with differen ..characteristics a.) Currency b.)…

A: The cash flow refers to the net amount of cash and cash equivalents that are transferred in and out…

Q: Dividend revenue is recognized for trading securities and available for sale securities even if held…

A: Solution Concept Dividend is recognized in income statement for trading securities if they are held…

Q: Financial Market is a market in which financial assets (securities) such as stocks and bon can be…

A: A financial market is a place where buyers and sellers of financial securities meet together in…

Q: Six events pertaining to financial assets are described as follows:a. Invested idle cash in…

A: Operating cash flow is part of total cash flow during the year which is occurred for operating…

Q: Commodities of broker-traders are measured at *

A: As per IAS 2 Inventories, this standard has some exceptions. One such exception is commodity…

Q: 1. Investments in debt and equity securities that are held for current resale by banks and…

A: Banks and stock brokerage firms normally deals in purchase and sale of securities. This purchase and…

Q: Trading securities, by definition, are properly classified in the statement of financial position…

A: Statement of financial position is also known as balance sheet, which is prepared at the year-end to…

Q: a. Securitization b. liquidation c. notarization d. intermediation) is an example of bank…

A: Option a is the correct answer

Q: UE OR FALSE 1. A company buys marketable securities when the cash outflows exceed the cash inflows.…

A: Following are the answers to statements with explanation given.

Q: TRUE or FALSE The currency in which most of the inflows and outflows of the entity is…

A: a. Functional currency is currency denominated which is normally used in the transactions of an…

Q: Select the incorrect statements relating to finance from the following: i. Finance represents the…

A: Finance means how to manage the funds of the company , how to procure , how to invest , how to…

Q: .Describe the structure of financial markets

A: Financial markets are the markets where all the financial transactions take place. Various types of…

Q: Are the following statements true or false, according to IAS1 Presentation of Financial Statements?…

A: Lets discuss IAS 1 here. As per IAS 1 deals with the presentation of the financial statement. It…

Q: For each case of a financial asset that is not related to one another, explain (must be accompanied…

A: Step 1 Financial assets are the assets which have the following characteristic Contractual…

Q: To know whether a particular situation for a family, business, or government involves an equilibrium…

A: In order to determine whether a particular situation for a family, business, the government is in…

Q: Question 1 True or False: Monetary Assets and liabilities constitute assets and liabilities…

A: Assets means the resources owned by company. Liabilities means the amount owed towards the outsider…

Q: A firm's net cash flow from operating activities includes which of the following: Select one: A.…

A: Operating Activities: This activity is known as revenue-producing activities. Its is generally…

Q: 1. An asset that is purchased with the expectation that it will produce income or appreciate at some…

A: Hi, since you have posted multiple question, I am answering the first three. Please repost the…

Q: The balance sheet account that is usually reported at its fair market value is: a. Short-term…

A: The assets can be classified fixed assets and current assets. The assets are recorded in balance…

Q: Marketable securities or cash equivalents (Choose the INCORRECT statement) a) are acquired with the…

A: Marketable Securities or cash equivalents are the assets of the company which falls under current…

Q: Choose the correct letter of answer: Which of the following items generally vary directly with…

A: Sales revenue is an item shown in the income statement of the business, which means proceeds from…

Q: Which of the following circumstances would result in an increase in cash from operations but not an…

A: Cash flow statement: It is a statement which reports the cash inflows and outflows of a business…

Q: Which of the following is not a cash disbursement item? a. Cash purchases b. Cash dividend payment…

A: Cash disbursement is also called cash payment made in specific period.

Q: Investing activities include transactions that affect issuance of common stock A Financing…

A: The statement of cash flow is one of the most important financial statement to be prepared at the…

Q: f depreciable equipment is sold at a gain, this transaction will appear the investing activities…

A: Equipment is a fixed asset, which helps in the regular working of the business. it a long term…

Q: whether an investing firm is the primary beneficiary in a variable-interest entity. When is an…

A: Since you have posted multiple questions, we will answer the first one for you. If you want a…

Q: View Policies Current Attempt in Progress For each of the following transactions, classify it as an…

A: Cash flows of a business can be segregated into three activities: a) Operating activities b)…

Q: The following are various forms of arbitrage. 1)Fixed income arbitrage 2)Risk arbitrage 3)Covered…

A: Arbitrage means taking a buy and sell position on an asset simultaneously, at different prices, to…

Q: The purchase of treasury stock is reported on the statement of cash flows as aa. negative cash flow…

A: In this question has covered the concept of financing activities under Cash Flow Statement.

Q: 1. Total receivables will remain unchanged for which of the following? a) Notes receivable…

A: Hi student Since there are two multiple questions, we will answer only first question.

Q: Select the assumption, principle or constraint that most appropriately justifies these procedures…

A: The accounting principle represents the rules and guidelines that are needed to be followed by the…

Q: Which of the following would not be found in a schedule of noncash investing and financing…

A: Treasury stock: Shares which are bought back by the company from the open market but not retired…

Q: The commodities or assets that are traded in financial market are called

A: Financial market (FM) is a place where financial items like stock, bonds, and precious items are…

Concept explainers

Functions of Financial Institutions

Financial institutions are businesses that are formed to deal with financial and monetary transactions. These organizations primarily accept deposits, advance loans, make investments, and provide foreign exchange services. Financial institutions include, but are not limited to, banks, insurance companies, trust companies, brokerage firms, and investment bankers. Because financial institutions play such an important role in the economy in terms of monetary transactions, regulating their activities has become a requirement for governmental authorities. As a result, the government creates a multitude of laws and regulations to oversee the activities of financial institutions.

Question

The commodities or assets that are traded in financial market are called

Select one:

a. Financial Institution

b. Financial System

c. Financial Service

d. Financial Banks

e. None of the options

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

Which of the following numerators does NOT include assets: a. Traffic speed of receivables b. Traffic speed of fixed assets c. Traffic speed of suppliers d. Traffic speed of stocks e. all of the above
I. What are terms of credit? From the viewpoint of a short-tent creditor, why do lines of credit increase a company's liquidity? How arc the unused portions of these lines presented in financial statements? 2. Why are investments in marketable securities shown separately from cash equivalents in the balance sheet?
Investment bank trade securities in the ? a. Secondary market b. Primary and secondary market c. Primary market d. Investment bank typacally do not trade securities
For each case of a financial asset that is not related to one another, explain (must be accompanied by an explanation) whether meeting the contractual cash flow test consists of only principal and interest: 1) Investments in debt instruments in the form of bonds with a specified maturity date. The bonds have a predetermined principal payment and interest on the principal amount payable is linked to the stock equity index on the stock exchange 2) Investments in debt instruments in the form of bonds from toll road management companies, whose contractual cash flows from these financial assets change according to the number of motorized vehicles that use certain toll roads. 3) Investments in debt instruments with a specified maturity date. A variable interest rate which gives the borrower the option of choosing a market rate of three months LIBOR for three months or one month LIBOR for one month
Which of the following is a correct statement? Inventory is not part of the current assets because they are physical in nature. Plant, equipment, building and land are non-current assets, but not fixed assets. Marketable securities such as stocks & bonds are current assets. Cash is the only liquid asset. Physical assets are financed by equity only.
Which of the following is not an asset account?a. Cashb. Landc. Equipmentd. Common Stock
The process of fixing the price of securities in the financial market is based on which of the following: a. Price is fixed by the seller of the Financial Instrument b. Price is fixed by the issuer of the Instruments c. Government fixes the price d. Demand and supply of the market helps to fix the pric
Which of the following is NOT a purpose of valuing financial securities? a. Valuation is used to provide sensible financial decisions.b. Valuation is used to get the intrinsic value of a financial security.c. Valuation is helpful for investors in order to determine whether to buy or sell their securitiesd. Valuation is used to predict the exact prices of financial securities.
The process of fixing the price of securities in the financial market is based on which of the following: a. Demand and supply of the market helps to fix the price b. Government fixes the price c. Price is fixed by the seller of the Financial Instrument d. Price is fixed by the issuer of the Instruments
Trading securities, by definition, are properly classified in the statement of financial position as: Select one: O a. Shareholders' equity O b. Other assets O c. Intangibles O d. Current assets
Which one of the following is not a money market securities. Choose correct option and explain and also explain incorrect options and also explain summary A•Treasury bills B•National savings certificate C•Certificate of deposit D•Commercial paper
Active secondary markets do not: A. provide investors with liquidity. B. raise funds for the issuers of securities C. perform price discovery. D. perform maturity transformation. E. assist to operation of primary market.