Which of the Following Statements Is NOT a Feature of Finance

question 35

Multiple Choice

Which of the following statements is NOT a feature of finance companies?

• A) Finance companies came into existence in response to regulations on interest rates.
• B) Finance companies sell unsecured notes and use the funds to make loans to borrowers.
• C) The majority of finance companies' funds are sourced from banks.
• D) Today the banks own many large finance companies.

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Definitions:

Watch-Making Plant

A factory or workshop where watches are manufactured, assembled, and sometimes designed.

Role Expectations

The behaviors and actions anticipated from an individual performing a specific role or position within a social or organizational context.

Groupthink

Groupthink is a psychological phenomenon that occurs within a group of people, in which the desire for harmony or conformity results in an irrational or dysfunctional decision-making outcome.

Very Cohesive

Describes a group or organization characterized by a high degree of unity, solidarity, and mutual support among its members.