If a bank desired to maximize its net interest margin, it would best achieve its goal by attempting to obtain most of its funds through ____ and use most of its funds for ____ (assuming that all loans will be repaid) .
A) traditional demand deposits; commercial loans
B) traditional demand deposits; consumer loans
C) NOW accounts; consumer loans
D) NOW accounts; commercial loans
Correct Answer:
Verified
Q50: Assume a bank accepts deposits on Australian
Q50: The risk of a loss due to
Q52: Banks can reduce their required capital levels
Q53: A common method for banks to reduce
Q54: Ringo Bank has a profit after taxes
Q55: Leskar Bank has $2 million in rate-sensitive
Q56: Banks can increase their potential interest revenues
Q57: For a commercial bank, when the average
Q60: _ is not a method used to
Q60: Bank A has interest revenues of $4
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