What Is the Primary Function of Finance Companies

question 73

Multiple Choice

What is the primary function of finance companies?

• A)Protect individuals and corporations from adverse events.
• B)Make loans to both individuals and corporations.
• C)Extend loans to banks and other financial institutions.
• D)Pool the financial resources of individuals and companies and invest in diversified portfolios of assets.
• E)Assist in the trading of securities in the secondary markets.

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Definitions:

Writing

The activity or skill of marking coherent words on paper and composing text.

Defective Tender

Involves an offer of payment that does not meet the legal requirements or criteria specified in a contract.

Right to Cure

A legal provision that allows a party in breach of contract an opportunity to fix or "cure" the breach within a designated period.

Performance

In contract law, the situation that exists when the parties to a contract have done what they had agreed to do.