Test Bank for Financial Markets And Institutions 8th Edition Anthony Saunders

TEST BANK FOR Financial Markets And Institutions 8th Edition Anthony Saunders Chapter 1 Student name:__________ 1) What factors are encouraging financial institutions to offer overlapping financial services such as banking, investment banking, brokerage, etc.? 1.I. Regulatory changes allowing institutions to offer more services 2.II. Technological improvements reducing the cost of providing financial services 3.III. Increasing competition from full-service global financial institutions 4.IV. Reduction in the need to manage risk at financial institutions A) I only B) II and III only C) I, II, and III only D) I, II, and IV only E) I, II, III, and IV 2) IBM creates and sells additional stock to the investment banker Morgan Stanley. Morgan Stanley then resells the issue to the U.S. public through its mutual funds. This transaction is an example of a(n): A) primary market transaction. B) asset transformation by Morgan Stanley. C) money market transaction. D) foreign exchange transaction. E) forward transaction. Version 1 1 3) IBM creates and sells additional stock to the investment banker Morgan Stanley. Morgan Stanley then resells the issue to the U.S. public through its mutual funds. Morgan Stanley is acting as a(n) A) asset transformer. B) asset broker. C) government regulator. D) foreign service representative. E) derivatives trader. 4) A corporation seeking to sell new equity securities to the public for the first time in order to raise cash for capital investment wo ...