When a Financial Intermediary Can Repeatedly Use Standardised Documents,it Is

question 69

Multiple Choice

When a financial intermediary can repeatedly use standardised documents,it is engaging in:

• A) liability management.
• B) liquidity management.
• C) credit transformation.
• D) economies of scale.

---

Definitions:

Increased Demand

Describes a situation where a larger number of consumers are willing and able to purchase a good or service at a given price, often leading to higher prices or a market shortage if supply does not increase correspondingly.

Price Ceiling

A legally established maximum price that can be charged for a good or service, preventing prices from reaching equilibrium levels.

Surplus

A situation where the quantity of a product supplied exceeds the quantity demanded, often resulting in a decrease in prices.

Shortage

A shortage occurs when the demand for a product exceeds the supply of that product at a specific price.