the study guide tcheach term in the lefthand column with its

the study guide. tcheach term in the left-hand column with its definition in the right-hand column by tating the correct letter of the definition on the blank line. brokerage firm A. a contract with an insurance company that 2, vesting 3.- dividend 4. capital gain 5. 6 liquidity provides regular income for a set period of time B. financial institution that facilitates the purchase and sale of financial securities by buyers sellers C. process of comparing the check register with the bank reconciliation bank statement D. financial assets issued by corporations governments, and other organizations measure of ease with which an asset can be converted into cash without losing value charter E. 7, 8. securities F. process of determining when money that has been set aside in a retirement plan belongs to an employee 9. overdraft G. check written for an amount greater than the H. income that results from selling an asset for I. portion of a company\'s earnings that is paid to 10. annuity balance of the account more than the purchase price stockholders J. license authorizing a bank to operate

Solution

1-B: A brokerage firm is a financial institution that facilitates purchase and sale of financial assets.

2-F: Vesting is used in relation to retirement plan benefits where the employee gets the right over the employer provided assets overtime. This gives employees an incentive to perform better.

3-I Dividend is that part of company\'s after-tax profits that the company pays to the shareholders as returns for purchasing shares or stocks of their company.

4-H: Capital gain is the difference between the sale price and purchase price of an asset which arises because of rise in the value of the asset overtime.

5-C: Bank reconciliation is matching the check register with bank statement.

6-E: Liquidity is the ease with which an asset can be converted into cash without losing its value. Cash is the most liquid of all assets.

7-J:

8-D: Securities are financial assets issued by comapnies, banks etc. to the investors that invest their money in the company. Securities offer returns to the investors over the principle amount.

9-G Overdraft occurs when a depositor withdraws more than the balance in his account. It leads to negative balance.

10-A: Annuity is a contract with insurance company that provides regular income for a set of period of time.