Primary market is:

1.   ?    is a financial market in which security (previously issued) can be resold by the investors for cash.
2.   ?    a financial market in which new issues of a security are sold to initial buyers;
3.   ?    always an OTC Market.
4.   ?    a market for monetary instruments.

In the case of money market:

1.   ?    The maturity of the capital transfers is above 1 year.
2.   ?    The risks are higher than capital market.
3.   ?    The liquidity is higher than capital market.
4.   ?    The transaction volume is higher than capital market.

This is not an internal financial resource for a company:

1.   ?    Reinvesting the profits
2.   ?    Bond issuing
3.   ?    Increasing capital
4.   ?    Fixed Assets Depreciation

This is a disadvantage for using internal financial resource:

1.   ?    internal financial resources provide a higher autonomy from financial institutions
2.   ?    internal financial resource could increase the company value
3.   ?    internal financial resources have a higher cost than external resources
4.   ?    can be used by highly leveraged companies

This is an advantage for usinf external financial resources:

1.   ?    additional costs (taxes, commissions applied);
2.   ?    can be obtained important financial resources;
3.   ?    a good projection for your business development (future income and cash-flow prediction).
4.   ?    the reimbursement program;

This is not an advantage for indirect financing:

1.   ?    lower risks (some institutions share or cover the financial risks);
2.   ?    financing facilities;
3.   ?    lower transaction costs;
4.   ?    higher operational costs;

This is not a service provided by financial institutions:

1.   ?    international markets surviving;
2.   ?    investment funds management;
3.   ?    selling receivables to the investors;
4.   ?    insurance against financial risks;

Commercial Banks are:

1.   ?    Depository Institutions
2.   ?    Government Institutions
3.   ?    International Financial Institutions
4.   ?    Non – depository Institutions

Investment Banks are:

1.   ?    Depository Institutions
2.   ?    Government Institutions
3.   ?    International Financial Institutions
4.   ?    Non – depository Institutions

Primary assets for commercial banks are:

1.   ?    Business and consumer loans
2.   ?    Corporate Bonds and Mortgages
3.   ?    Mortgages loans
4.   ?    Consumer loans

Municipal Bonds are:

1.   ?    fixed income instruments
2.   ?    money market instrumets
3.   ?    indirect investment instruments
4.   ?    investment funds instruments

This is not a money market instrument:

1.   ?    Treasury Bills
2.   ?    Commercial Papers
3.   ?    Banker's Acceptances
4.   ?    Interest Rate Futures

Treasury Bills are not:

1.   ?    a short term debt instruments
2.   ?    “risk free rate” instruments
3.   ?    the most liquid financial instruments
4.   ?    instrumets that pay a specific interest rate.

Commercial Papers are:

1.   ?    short term instruments issued by banks or well known companies
2.   ?    short term instruments issued by treasury
3.   ?    short term instruments issued by turists
4.   ?    instruments with the lowest level of risk.

This is not a financing company:

1.   ?    Leasing company
2.   ?    Factoring Company
3.   ?    Loan company
4.   ?    Forfeiting institution

Repurchase Agreements are:

1.   ?    short term loans based on a collateral
2.   ?    instruments used by the well known companies
3.   ?    banks drafts
4.   ?    debt instrument sold by a bank to depositors

Negotiable Bank Certificates of Deposits are:

1.   ?    short term loans based on a collateral
2.   ?    instruments used by the well known companies
3.   ?    banks drafts
4.   ?    debt instrument sold by a bank to depositors

The financial instruments (from above) with the highest risk are:

1.   ?    Municipal Bonds
2.   ?    Treasury Bills
3.   ?    Commercial Papers
4.   ?    Options

The financial instruments (from above) with the lowest level of risk are:

1.   ?    Blue Chips
2.   ?    Corporate Bonds
3.   ?    Investment Fund Participations
4.   ?    Deposit Certificates

Global Depositary Receipts are:

1.   ?    negotiable instruments;
2.   ?    variable income instruments;
3.   ?    indirect investment instruments;
4.   ?    money market instruments

Primary Liabilities for Financing Companies are:

1.   ?    Employer and employee contributions
2.   ?    Premiums from policies
3.   ?    Deposits
4.   ?    Commercial papers, stocks, bonds

FX Market is:

1.   ?    a monetary market
2.   ?    a capital market
3.   ?    a particular Stock Exchange
4.   ?    a debt market

This is not a credit instrument:

1.   ?    Treasury bill;
2.   ?    Preferred Stock
3.   ?    Banker’s Acceptance;
4.   ?    Deposit Certificate.

This is a debt instrument:

1.   ?    Bond
2.   ?    Insurance Policie
3.   ?    Commercial Paper
4.   ?    Treasury bill

Venture Capital Funds are:

1.   ?    Non-depositary institutions
2.   ?    Depositary institutions
3.   ?    Government Institutions
4.   ?    International Financial Institutions