1-76 What Distinguishes Financial Intermediaries from Industrial Firms

question 72

Multiple Choice

1-76 What distinguishes financial intermediaries from industrial firms?

• A)FI balance sheets are almost totally comprised of financial assets while commercial firms hold substantial amounts of real assets.
• B)Industrial firms are the customers of FIs,but FIs cannot be customers of industrial firms.
• C)FIs deal exclusively in primary securities,but industrial firms specialize in secondary securities.
• D)Industrial firms produce real goods or services while FIs only produce money.
• E)Industrial firms are unregulated while FIs are heavily regulated.