Which of the Following Facets of Modern Financial Infrastructure Came

question 30

Multiple Choice

Which of the following facets of modern financial infrastructure came as a result of deregulation in the 1970s and 1980s?

• A)Separation of commercial and investment banking
• B)Enhanced role of central banks
• C)Increased regulation of securities markets
• D)Supply of debt and equity funding for firms that could not fund themselves through retained earnings
• E)The availability of large investment funds facilitating M&A to flourish

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Definitions:

Variable Costs

Costs that vary directly with the level of production or business activity, such as materials and labor.

Fixed Costs

Costs that do not change with the level of production or sales, such as rent, salaries, and insurance.

Break-Even Point

The point at which total costs and total revenue are equal, meaning no net loss or gain, and one has "broken even."

Capacity Strategies

Approaches adopted by businesses to match their operational capacity with demand levels in order to maximize efficiency and customer satisfaction.