Which of the Following Is Correct with Regard to Recent

question 125

Multiple Choice

Which of the following is correct with regard to recent changes in banking in Canada?

• A) Banks are increasingly focusing on their role as intermediaries between depositors and borrowers.
• B) Consumers are turning to electronic banks like President's Choice Financial.
• C) Rather than making most of their profit from investment banking fees,banks now make most of their money from the spread between interest rates paid to depositors and the rates charged on loans.
• D) During the last few years,large companies have increased their reliance on bank loans.
• E) U.S.and other foreign banks are not allowed to do business in Canada.

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Definitions:

Supplies Used

The cost of supplies consumed during a specific period, often recorded as an expense on the income statement.

Expense

Expense is the cost of operations that a company incurs to generate revenue, encompassing everything from rent and salaries to utilities and materials.

Periodic Inventory Method

An accounting method which involves physically counting the inventory at specific intervals to determine the cost of goods sold and the ending inventory balance.