For a DI, What Does a High Ratio of Loans

question 69

Multiple Choice

For a DI, what does a high ratio of loans to deposits indicate?

• A)DI relies heavily on the short-term money market to fund loans.
• B)High degree of loan commitments.
• C)DI has large amounts of asset-side liquidity.
• D)Liquidity concerns are at a bare minimum for the FI.
• E)DI relies heavily on core deposits to fund loans.

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