1. (TCO 1) An SSU's (Points : 3)

(a) income and expenditures for the period are equal. (b) income for the period exceeds expenditures. (c) expenditures for the period exceed receipts. (d) spending is entirely financed by credit cards.

2. (TCO 1) An efficient financial system (Points : 3)

(a) eliminates search and transactions costs. (b) is a mere theoretical possibility. (c) promotes economic growth and social progress. (d) depends on high volumes of "direct" transactions.

Question 3.3. (TCO 1) Which of the following are economic units? (Points : 3)

(a) Households (b) Businesses (c) Governments (d) All of the above