Q.

What is TRUE of group lending clause?

A. Dealing with groups instead of individuals reduces transaction costs for the bank
B. Group arrangements teach the bank a great deal about who is safe and who is risky
C. Group lending reduces inequality between borrowers: all benefit from the same interest rate
D. Group loans are always cheaper than individual loans
Answer» D. Group loans are always cheaper than individual loans
691
0
Do you find this helpful?
1

View all MCQs in

Trends and Cases in Finance

Discussion

No comments yet

Related MCQs