Which of the following factors causes the issuance of long-term debt to be more costly for small banks than large banks?

Question

Quizplus · Accepted Answer

All of the listed factors contribute to the higher cost of issuing long-term debt for small banks compared to large banks. Higher unit transaction costs, poor liquidity of small issues, and a higher rate of return demanded by investors all make it more expensive for small banks to issue long-term debt.

Which of the Following Factors Causes the Issuance of Long-Term