Which of the Following Statements Is Correct

question 9

Multiple Choice

Which of the following statements is correct?

• A)Compensating balance requirements apply only to businesses, not to individuals.
• B)Compensating balances are essentially costless to most firms, because those firms would normally have such funds on hand to meet transactions needs anyway.
• C)If the required compensating balance is larger than the transactions balance the firm would ordinarily hold, then the effective cost of any loan requiring such a balance is increased.
• D)Banks are prohibited from earning interest on the funds they force businesses to keep as compensating balances.
• E)All of the above statements are correct.

Comprehend the legal and regulatory environment affecting recruitment practices, such as fees charged by private employment agencies.

Understand the financial considerations in recruitment, including advertising costs, search firm fees, and the budgeting process.

Grasp the role and functions of Employment and Social Development Canada (ESDC) in recruitment.

Acknowledge the importance of diversity in recruitment strategies.

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Definitions:

Statutory Law

Written laws enacted by a legislative body that govern how individuals and organizations may conduct themselves.

Prohibited

Prohibited means officially forbidden or disallowed by law, rule, or other authority.

Void

A term describing a contract or legal agreement that is null, having no legal force or effect from the beginning.

Minor

A person under the age of legal majority, typically 18 years in most jurisdictions, who has certain restrictions on their legal capacities and responsibilities.