The Development of Securitisation Spelled the End of Banks' Ability

question 56

True/False

The development of securitisation spelled the end of banks' ability to make illiquid assets marketable.

---

Definitions:

Fixed Assets

Long-term tangible assets used in the operation of a business, not expected to be converted into cash within a year.

Land Improvements

Enhancements made to a piece of land to increase its value, such as landscaping, fencing, and installing utilities, which are usually depreciated over time.

Financial Statement

A written record that conveys the business activities and the financial performance of a company, including balance sheets, income statements, and cash flow statements.

Depreciation

The methodical distribution of the expense of a physical asset throughout its lifespan, indicating the decrease in its value as time passes.