An Entity That, as Part of Its Normal Business Operations

question 10

Multiple Choice

An entity that, as part of its normal business operations, makes loans or extends credit to the general public, is referred to as a:

• A) financial institution.
• B) savings and loan.
• C) federal reserve bank.
• D) FDIC.

---

Definitions:

Government Regulators

Authorities or agencies responsible for enforcing laws, regulations, and ensuring compliance within specific industries or sectors.

Secondary Stakeholder

A party that is indirectly affected by a company's activities but is not engaged in transactions with the company. Their interests may still impact the company's decisions.

Social Responsibility

Refers to the obligation of individuals and organizations to act for the benefit of society at large, balancing profit-making activities with activities that benefit the community.

Stakeholder Orientation

A business approach that prioritizes the needs, interests, and well-being of all stakeholders in decision-making processes.