Banks

question 42

Multiple Choice

Banks

• A) are the only type of financial intermediary.
• B) are savers looking for opportunities to earn a return on their savings.
• C) have been owned by the government since the Great Depression.
• D) are private firms that accept deposits and extend loans.
• E) complicate the connection between borrowers and savers.

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Definitions:

Venture Capital

Financing provided to new business ventures by professional, outside investors—that is, venture capitalists, usually groups of wealthy investors and securities firms.

Securities

Generally, stocks, bonds, or other items that represent an ownership interest in a corporation or a promise of repayment of debt by a corporation.

Ownership Share

The portion of a company or property legally owned by an individual or entity, often represented as a percentage.

Board Of Directors

A group of individuals elected by shareholders to oversee the management and make strategic decisions for a corporation.