1. Which type of financial intermediary supports sophisticated investors?

a.	Investment bank
b.	Hedge fund
c.	Commercial bank
d.	Private equity firm

2. If a companys price to earnings ratio increased, this is good directly because:

a.	The company raised sale prices on products sold
b.	The companys stock price went up
c.	Earnings per share increased last period
d.	Company profits increased last period

3. A companys pays for its assets with:

a.	Revenues and expenses
b.	The primary and secondary market
c.	Interest and dividends
d.	Liabilities and equity

4. A commercial banks major services to customers include all of these except:

a.	Take deposits from individual savers
b.	Invest in corporate and government debt
c.	Make short-term loans to small business
d.	Find buyers for new issuance of bonds

5. The concept of a stocks intrinsic value is based on:

a.	What investors think about the risk and cash flows
b.	Only the current market price of the stock
c.	The true risk and cash flows of the company
d.	What investors think its market price should be

6. Venmo is a startup business which has relied on venture capital thus far. Such capital is raised in what type of market?

a.	Public and secondary
b.	Private and secondary
c.	Private and primary
d.	Public and primary