12 Questions
What is the main source of funds for businesses?
Banks
Which financial institution primarily deals with the business sector and not with individuals?
Finance companies
Who supervises banks in Australia?
RBA
Which non-bank financial intermediaries provide a lump sum payment in the event of death?
Life insurance companies
What type of loans do finance companies mainly specialize in providing?
Lease financing
What is the purpose of superannuation funds in Australia?
To provide benefits to employees upon retirement
What is a unit trust primarily used for?
Investing in a diversified portfolio
What is the role of the Australian Securities Exchange (ASX)?
A primary stock exchange that operates as a market, clearing house and payments facilitator
What tax rate do private and public companies have to pay?
30%
What is ASIC's role in the context of businesses?
ASIC collects financial information from companies to make it available for the public
How can the government influence business financial management decision making?
Through economics policies such as monetary and fiscal policy
What happens to contributions made to employees' retirement funds?
The money grows over time and is used to fund the rest of their life after retirement
Test your knowledge about financial institutions, banks, and their roles in collecting funds, making investments, and providing financial services. Learn about the supervision of banks by the Reserve Bank of Australia (RBA).
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