Reference no: EM133205903

State with of the following statements is true or False

1) The overnight loan done by the corporation which need finance from the commercial bank account

2) Financial markets and institutions involve the movement of huge flows of money, affect the profits of businesses, and affect the types of goods and services produced in an economy

3) A payment system based primary on checks has the following advantages: checks are costly to process, checks are costly to transport, and checks take time to move through the check clearing system.

4) Channeling funds from individuals with surplus funds to those desiring funds when the saver does not purchase the borrowers security is known as financial intermediation

5) Financial markets promote economic efficiency by channeling funds from savers to investors.

6) For a commodity to function effectively as money it must be easily standardized, making it easily to certain its value, widely accepted, and divisible into relatively small units.

7) The commercial bank have basic functions such as accept deposits but at certain times.

8) Financial intermediaries act as middleman, borrowing funds from those who have saved and lending these individual's wealth to investors, and help promote a more efficient and dynamic economy

9) Money is defined as anything that is generally accepted of debt

10) Direct finance doesn't involve activities of financial intermediaries