Loan Sales by an FI Are Another Tool to Manage

question 78

True/False

Loan sales by an FI are another tool to manage credit risk of the FI.

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Definitions:

Generate

To bring into existence; to produce or create something, especially by a process of thought or imagination.

Sequence

An ordered list or arrangement where items are consecutively positioned based on certain criteria.

Modus Ponens

A form of logical argument where a premise, if true, inevitably leads to a particular conclusion.

Modus Tollens

A logical argument form where if the consequent is not true, then the antecedent cannot be true; often formatted as "If P, then Q. Not Q, therefore not P."