Banks can satisfy their short-term borrowing needs by
A)Federal Funds purchased.
B)Federal Funds sold.
C)Issuing negotiable CDs.
D)Both a and c

Question

Banks can satisfy their short-term borrowing needs by 
A)Federal Funds purchased.
B)Federal Funds sold.
C)Issuing negotiable CDs.
D)Both a and c

Quizplus · Accepted Answer

Banks can satisfy their short-term borrowing needs by Federal Funds purchased and issuing negotiable CDs. Federal Funds purchased involve borrowing from other banks, while negotiable CDs are time deposits that can be sold in the secondary market.

Banks Can Satisfy Their Short-Term Borrowing Needs by