I.

IDENTIFICATION
1.  The policy-making body of BSP.  The Monetary Board
2-5  The components of financial system. 
2. Financial Institutions
3.Financial Marktes
4.Financial Services
5.Financial Instruments
6-7  The ownership classifications of non-banking financial institution. 
6. Non-banking financial institution (NBFI)
7.  Non-bank financial company (NBFC)
8.  The function of BSP to inform the top officials like the President of the Philippine
about the monetary and financial conditions of the economy.    Governor
9.  It clears the checks issued and cashed by banks within Metro Manila. PCHC
10.  It controls the volume of money created by the operations of the banking system
against its deposit liabilities. Custodian of the cash reserve of banks
11.  The BSP has the power to change, as the economy requires, the percentage legal
reserve requirements of banking institutions to blank.   Controller of credit
12.  The BSP communicates with the banking, business sector, and general-public
regarding their plans to control credit or money supply. Moral Suasion
13.  The function of BSP to lend money to the government, buys and sells securities,
administers and manages national debts. Government’s banker agent and adviser
14.  It accepts deposits and provides loan to the public, individual and company
sectors. Commercial Bank
15.  It distributes new securities in the market. Primary Market
16.  It symbolizes the continuing and unending quest to become excellent monetary
authority committed to improve the quality of life of Filipinos. Round Shape of BSP
Logo
17.  It takes in charge on the formulation and implementation of the BSP’s monetary
policy. Monetary Stability
18-19.  Classification of financial institutions in the Philippines. 
18. government nonbank financial institutions
19. private nonbank thrift institutions.
20.  It responsible for the production of Phil. currency, security documents and
commemorative medals and medallions. The Security Plant Complex (SPC)

II.  MATCHING TYPE

            COLUMN A                                                                                                               COLUMN B
H 1.   The principal representative of the MB and BSP.                                              A.  BSP
G2.   1st Governor of the central bank.                                                        B.  Value of peso is very
low
O3.   Year the central bank opened its operation.                                                      C.  Sell the govt.
security
M4.   Year the law of the central bank had been created.                                          D.  Capital Market
N5.   Year the central bank conceptualized its existence.                                         E.  Phil. Eagle
S6.   The present governor of the BSP.                                                                        F.   Investment
U7.   A member of MB designated by the President of the Philippines.                  G.  Miguel
Cuaderno
D8.   The effective way to combat inflation.                                                                H.  Governor
C9.   When prices are very high                                                                                     I.    BSP pays
interest
F10.  Purchasing more goods and services abroad                                                  J.   White color
T11.  The central monetary authority                                                                           K.   It removes the
excess
K12.  Reduces the money supply in the public.                                                          L.   Truth in
lending act
I13.  The bank’s amount reserve requirement to BSP is higher than its  
 reserves against the deposit liabilities.                                                                   M.  1948       
B14.  It overseeing the banking system to ascertain regulation.                             N.  1933
A15.  It facilitates the buying and selling of securities in a                                      O.   1949
 a longer period of time.                                                                                              P.   Produce more
goods
J16.  It represent the purity, neutrality and mental clarity of  an eagle.                  Q.   International
value is high
P17.  The product of low investment.                                                                         R.   Financial
Instrument
L18.  Law governing control of financial system.                                                     S.    Felipe Medalla
R19.  It serves as evidence in a business transaction.                                             T.    Supervision
E20.  It is the national bird which symbolizes strength, clear vision, and freedom.                             
                                    U.   Secretary of Finance 

III.  TRUE OR FALSE

1.   Wide fluctuations in price levels, there is high price and monetary stability.  TRUE
2.   When there is an expansion or contraction of money supply, there is a fluctuation in  the price
level. TRUE
3.   When the rate of growth of the money supply is greater than the rate of production  of goods
and services, price level decreases.  FALSE
4.   Printing of money by a central bank creates inflation. TRUE
5.   Maintain international stability and convertibility of Phil. peso, the BSP needs to maintain
inadequate international reserves. FALSE
6.   Domestic inflation is the same as devaluation of our peso against foreign currencies. FALSE
7.   The members of the Monetary Board of the BSP coming from the private sector
provide importance in designing and directing our economic development. TRUE
8.   The BSP does accept deposits from the public of grant loans directly to individuals. FALSE
9.   The central bank operations are more extensively controlled by the government laws  than
other financial institutions. FALSE
10.  Reserve requirements are increase in order to increase money supply during inflation. FALSE
11.  A legal reserve requirement imposed by the BSP on the deposit liabilities of banks. TRUE
12.  The fiscal policy involves too much government intervention process than monetary   policy.
TRUE 
13.  Risk makes possible to reduce because of financial system operational process. FALSE
14.  The PCHC gives insurance on the deposited amount entrusted to a bank by a
depositor. TRUE
15.  BSP function is to extend interest rate for deposited amount to the banks and receive interest
rate from the loans.  TRUE
16.  Boom economy requires the BSP to extend money by selling government securities. FALSE
17.  Increases the money supply pushes the term interest rate down that discourage more
investments and consumptions. FALSE
18.  Regulating and supervising the operations of the financial institution is imperative to
strengthen inflation and loss the money of depositor. TRUE
19.  The sectors involved in the financial systems are household, government and company.    
TRUE  
20.  An oversupply of money is good if people have good financial management. FALSE
 
 GOD BLESS YOU STUDENTS!!!