Thrift Institutions Importance as a Source of Funds for Borrowers

question 77

Multiple Choice

Thrift institutions importance as a source of funds for borrowers

• A) has shrunk from around 40 percent of total credit advanced in the late 1970s to below 30 percent by 2011.
• B) has shrunk from over 20 percent of total credit advanced in the late 1970s to around 3 percent by 2011.
• C) has expanded dramatically, from around 15 percent of total credit advanced in the late 1970s to above 25 percent by 2011.
• D) has expanded dramatically, from around 15 percent of total credit advanced in the late 1970s to above 30 percent by 2011.

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Definitions:

Owner's Equity

Refers to the residual interest in the assets of a company after deducting liabilities, representing the ownership interest.

Property Plant and Equipment

Durable physical assets that are utilized in running a business and are not meant to be sold.

Intangible Assets

Non-physical assets that have value due to the rights or information they provide, such as trademarks, patents, and goodwill.

Net Income

The total earnings of a company after subtracting all expenses, including taxes and operating expenses.