Section 1

Question 0

Investment

Answer 0

Is the use of income today that allows for a future benefit.

Question 1

Savings

Answer 1

Is income not used for consumption.

Question 2

Financial system

Answer 2

Is all the institutions that help transfer funds between savers and investors.

Question 3

Financial asset

Answer 3

Is a claim on the property of the borrower.

Question 4

Financial market

Answer 4

Is where buyers and sellers exchange financial assets.

Question 5

Financial intermediary

Answer 5

Is an institution that collects funds from savers and invests the funds in financial assets.

Question 6

Mutual fund

Answer 6

Is an investment company that gathers money from individual investors and purchases a range of financial assets.

Question 7

Capital market

Answer 7

Is where long-term financial assets are bought and sold.

Question 8

Money market

Answer 8

Is where short-term financial assets are bought and sold.

Question 9

Primary market

Answer 9

Is for buying financial assets directly from the issuer.

Question 10

Secondary market

Answer 10

Is where financial assets are resold.