Why do FI's provide the public with a wide range of financial services?
A)Because intermediaries are required by law to do so.
B)Because intermediaries are, by and large, profit seeking.
C)Because intermediaries just like to make people happy.
D)Because intermediaries are better at appraising the risk of default associated with lending to particular borrowers.

Question

Quizplus · Accepted Answer

Financial intermediaries are profit-seeking institutions that aim to generate revenue by providing a wide range of financial services to the public. By offering a diverse set of services, they can appeal to a larger customer base and generate more income. Additionally, by offering multiple services, they can increase the amount of money that customers deposit with them, which they can then use for lending and investment activities.

Why Do FI's Provide the Public with a Wide Range