Because They Don't Accept Deposits from Individuals or Provide Traditional

question 127

Multiple Choice

Because they don't accept deposits from individuals or provide traditional banking services,_____ are characterized as nondeposit institutions.

• A)finance companies
• B)money market funds
• C)mutual fund companies
• D)brokerage firms

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Definitions:

Financial Information System

A computerized system that collects, processes, stores, and reports financial data to assist in decision-making and control.

Dollars and Cents

The basic units of currency in many countries, including the United States, representing the monetary value of goods, services, or financial transactions.

Accounting Information

Data related to the financial transactions and status of an organization that is used for analysis, planning, and decision-making.

External Users

Individuals or entities outside of a company who use its financial statements for decision-making, such as investors, creditors, and regulatory agencies.