Solved

Match the Following

Question 275

Matching

Match the following:

Premises:
Maturity matching principle
Responses:
Enables a lender to maintain a collateral position in all of the inventory at a borrower's facility.
Permits the disbursement of funds at remote locations without the need to maintain excess cash at those locations.
An attempt to transfer the task of maintaining inventory from a manufacturer to its suppliers.
The length of time it takes to pay off a loan should be approximately equal to the duration of the project it supports.

Correct Answer:

Enables a lender to maintain a collateral position in all of the inventory at a borrower's facility.
Permits the disbursement of funds at remote locations without the need to maintain excess cash at those locations.
An attempt to transfer the task of maintaining inventory from a manufacturer to its suppliers.
The length of time it takes to pay off a loan should be approximately equal to the duration of the project it supports.
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