A Small Business Management Course at a Community College May

question 42

Multiple Choice

A small business management course at a community college may offer entrepreneurs an opportunity to

• A) meet with experienced entrepreneurs and learn from their advice.
• B) try out ideas on a computer simulation before risking real time and money.
• C) listen to a qualified instructor solve all of the problems of small business owners.
• D) be part of a group that will include angel investors.

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Definitions:

Discount Rate

The rate of interest applied to loans obtained by commercial banks and other saving organizations from the lending facility of their regional Federal Reserve Bank.

Government Bonds

Long-term debt of the federal government.

Commercial Bank Reserves

Funds that commercial banks are required to hold in reserve against deposits, either as cash in their vaults or as deposits with the central bank.

Reserve Ratio

The portion of depositors' balances that banks must have on hand as cash, as required by central banking regulations.