1. One of the most important contributions of the financial markets is to make possible the exchange of current income for future income. A question requiring a 'True/False' answer.(Required) True O False 2. A short-term IOU issued by a large well-established corporation is known as commercial paper A question requiring a 'True/False' answer.(Required) True False 3.Federal funds are temporary cash surpluses held by the federal government. A question requiring a 'True/False' answer.(Required) O True O False 4. The financial markets provide a means to protect businesses, consumers and governments against risk. A question requiring a 'True/False' answer.(Required) O True O False 5. The largest borrower in the money market is A multiple-choice question with one possible answer.(Required) 1. O Households 2. O Commercial banks 3. O Businesses 4. O None of above 5. O Governments 6.Financial market is a market where factors of production are bought and sold A question requiring a 'True/False' answer.(Required) O True O False 7. The function of the financial system that the value of accumulated savings built up over time is called the wealth functions. A question requiring a 'True/False' answer.(Required) O True O False 8. A high degree of safety, relatively high rates of return are the characteristics of the money market A question requiring a 'True/False' answer.(Required) O True O False 9. Commercial papers need to be registered with the Securities and Exchange Commission (SEC) A question requiring a 'True/False' answer.(Required) O True O False 10. Generally, NCD can be cashed in before maturity. A question requiring a 'True/False' answer.(Required) True False 11. NCD cannot be sold in the secondary market. A question requiring a 'True/False' answer.(Required) O True O False 12. US dollars deposited in a bank in Japan is not a eurocurrency. A question requiring a 'True/False' answer.(Required) O True O False 13. The liquidity function of the financial system is designed to protect businesses, consumers and governments against risks to people, property and income. A question requiring a 'True/False' answer.(Required) O True O False 14. The function of the financial system that consists of providing a channel through which the government can promote the goals of low unemployment rate and price stability is called the A multiple-choice question with one possible answer.(Required) 1 Savings function 2.0 Wealth function 3. O None of above 4. O Liquidity function 5. O Credit function 15. Secondary markets facilitate the trading of existing securities. A question requiring a 'True/False' answer.(Required) O True O False 16. Commercial banks are the most important institutional suppliers in the money market. A question requiring a 'True/False' answer.(Required) O True O False 17. The money market is a retail market for funds. A question requiring a 'True/False' answer.(Required) O True O False 18. T-bills is sold by auctions on a weekly or monthly basis. A question requiring a 'True/False' answer.(Required) O True False 19. The U.S. Treasury issued more long-term bond than T-Bill. A question requiring a 'True/False' answer.(Required) O True O False 20.Direct commercial paper is issued mainly by large finance companies and bank holding companies. A question requiring a 'True/False' answer.(Required) O True False 21. Commercial paper rate is usually higher than the bank prime lending rate. A question requiring a 'True/False' answer.(Required) O True O False O True O False 22. Commercial papers generally remain outstanding until maturity. A question requiring a 'True/False' answer.(Required) O True O False 23.NCD are issued by the central bank. A question requiring a 'True/False' answer.(Required) O True O False 24. NCD can usually be sold in a highly liquid secondary market. A question requiring a 'True/False' answer.(Required) O True O False 25. Individuals (household) purchase a large amount of NCD. A question requiring a 'True/False' answer.(Required) O True O False 26. Federal funds rate is the target interest rate set by the Fed at which commercial banks borrow and lend their excess reserves to each other overnight. A question requiring a 'True/False' answer.(Required) O True O False 27. Repos is equivalent to short-term, uncollateralized, interest-bearing loan. A question requiring a 'True/False' answer.(Required) True O False 28. The London Interbank Offered Rate (LIBOR) is a benchmark interest rate at which major UK banks lend to one another in the U.K. interbank market for short-term loans. A question requiring a 'True/False' answer (Required) O True O False 29. Mortgage loan belongs to capital market. A question requiring a 'True/False' answer.(Required) O True O False 30. Please refer to the following links and summarize the potential causes for the spike in the repo markets on Sep, 2019. https://www.finextra.com/blogposting/17936/disruption-in-the-repo-markets https://www.advisorperspectives.com/commentaries/2019/11/06/was-the-september-repo-spike- an-anomaly https://www.omfif.org/2019/09/trouble-brewing-in-us-repo-markets/ (Required) O words