Which of the Following Is Not a Function of Financial

question 19

Multiple Choice

Which of the following is not a function of financial intermediaries?

• A)Accept funds from the public and invest them in assets.
• B)Harmonise the differences in size,maturity and risk preferences between surplus units and deficit units.
• C)Generate economies of scale as a result of the specialist skills that financial intermediaries acquire in credit assessment and monitoring of the performance of borrowers.
• D)Result in the pooling of the risks associated with a portfolio of loans.

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Definitions:

Rank Order

The hierarchical arrangement of items or individuals based on certain criteria, reflecting their relative positions or importance.

Results-Oriented Structure

An organizational design that focuses on outcomes and results, rather than processes or inputs.

Internal Organisational

Pertaining to the inner workings and structures within an organization, such as its culture, policies, and procedures.

Elevating Goal

A strategy of setting increasingly higher objectives to motivate and improve team or individual performance.