Ask Question
29 September, 22:09

Financial institutions:

A) reduce information costs, set interest rates for bonds, and diversifii assets.

B) reduce information costs, reduce transaction costs, and diversifii assets.

C) pool funds from lenders, reduce transaction costs, and diversifu assets.

D) reduce information costs, reduce transaction costs, and pool funds from lenders

+5
Answers (1)
  1. 30 September, 00:36
    0
    Financial institutions:

    A) reduce information costs, set interest rates for bonds, and diversify assets

    Explanation:

    From the options given here one can see that there are a set of things that are interrelated that financial institutions are supposed to do.

    The prime ones out of these are to

    - Reduce information cost

    - Set interest rates for the bonds of the institution government and others too essentially.

    - Diversify the assets.

    This does not include actually pooling the funds which is something only the people who are investing can do.

    Thus, the first option looks the correct one here.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Financial institutions: A) reduce information costs, set interest rates for bonds, and diversifii assets. B) reduce information costs, ...” in 📘 Social Studies if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers