When Many Banks Join Together to Lend Money to Developing

question 190

Multiple Choice

When many banks join together to lend money to developing countries such as Bangladesh and Malaysia, they seek to spread out the risk of default. This is called

• A) a not-for-profit organization.
• B) a cooperative.
• C) diversification.
• D) a quasi-government corporation.
• E) a syndicate.

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Definitions:

Record Date

The date set by a company on which you must be on the company's books as a shareholder to receive a declared dividend or participate in corporate actions.

First-Quarter Dividend

A dividend payment made by a company to its shareholders, typically announced after the first financial quarter's results.

Balance Sheet

A financial statement that shows a company's assets, liabilities, and shareholders' equity at a specific point in time.

Fixed Assets

Long-term tangible property owned by a business that is used in producing goods and services.