Which One of the Following Is a Source of Liquidity

question 47

Multiple Choice

Which one of the following is a source of liquidity risk for a bank?

• A) Predicted increase in net deposit withdraws before holidays
• B) A natural disaster in the bank's community
• C) Corporation calls in a bond the bank is holding
• D) Maturation of notes payable

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Definitions:

Offshoring

Moving production outside the home country.

Offset Agreement

An agreement wherein a supplier agrees to buy products from the party to whom it is selling in order to win the buyer as a customer and “offset” the buyer’s production costs.

Import Tariffs

Taxes imposed by a government on goods and services imported from other countries, often used to protect domestic industries or generate revenue.

Communication Challenges

The obstacles or issues faced during the process of conveying, receiving, and understanding messages among individuals or entities.