Which of the Following Is True of Merchant Banking in the Fifteenth

question 61

Multiple Choice

Which of the following is true of merchant banking in the fifteenth century?

• A) Jews were prohibited from money lending for religious reasons.
• B) Florence lagged behind the rest of Europe.
• C) Checking accounts, shareholding companies, money changing, loans, and investments were offered as services.
• D) Services were offered only to the clergy.
• E) No money could be lent for the purpose of warfare, in accordance with the Banker Agreement of 1499.

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Definitions:

Perpetuity

A type of annuity that pays a fixed amount of money to an individual indefinitely, without a termination date.

Interest Rate

The percentage of principal charged by the lender for the use of its money or the rate earned on savings or investments.

Perpetual Payments

Payments that continue indefinitely, often associated with perpetuities in finance.

Annual Perpetuity

A type of financial annuity that makes consistent annual payments to the holder indefinitely.