Financial intermediaries pool the resources of many small savers so that they can:
A) charge fees to these small savers and earn substantial income.
B) obtain the funds necessary to make loans to borrowers seeking large amounts.
C) lower their transaction costs of obtaining funds.
D) avoid paying any interest to obtain funds to lend.
Correct Answer:
Verified
Q4: Since one function of financial intermediaries is
Q5: If financial intermediaries did not have the
Q6: Financial intermediaries:
A) increase the cost of financial
Q7: The fact that a financial intermediary can
Q8: Examples of economies of scale are:
A) the
Q10: Which of the following is not a
Q11: When the amount of direct and indirect
Q12: The function of providing liquidity by financial
Q13: Financial institutions, acting as financial intermediaries, perform
Q14: Financial intermediaries, through their ability to lower
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents