Financial Intermediaries Pool the Resources of Many Small Savers So

question 3

Multiple Choice

Financial intermediaries pool the resources of many small savers so that they can:

• A) charge fees to these small savers and earn substantial income.
• B) obtain the funds necessary to make loans to borrowers seeking large amounts.
• C) lower their transaction costs of obtaining funds.
• D) avoid paying any interest to obtain funds to lend.