15. Secondary markets facilitate the trading of existing securities.

True/ False

16. Commercial banks are the most important institutional suppliers in the money market.

True/ False

17. The money market is a retail market for funds.

True/ False

18. T-bills is sold by auctions on a weekly or monthly basis.

True/ False

19. The U.S. Treasury issued more long-term bond than T-Bill.

True/ False

20.Direct commercial paper is issued mainly by large finance companies and bank holding companies.

True/ False

21. Commercial paper rate is usually higher than the bank prime lending rate.

True/ False

22. Commercial papers generally remain outstanding until maturity.

True/ False

23.NCD are issued by the central bank.

True/ False

24. NCD can usually be sold in a highly liquid secondary market.

True/ False

25. Individuals (household) purchase a large amount of NCD.

True/ 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.

True/ False

27. Repos is equivalent to short-term, uncollateralized, interest-bearing loan.

True/ 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.

True/ False

29. Mortgage loan belongs to capital market.

True/ False