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Question
The First State Bank of Summerville needs to raise $500,000 in nondeposit sources of funds. It knows that the Eurodollar market requires a minimum denomination of $1 million. What factor that affects a bank's use of nondeposit sources of funds is this bank concerned about?
A. The relative cost of raising the funds
B. The length of time the funds will be required
C. The risk associated with each source of funds
D. The size of the bank
E. Regulations
Answer
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Related questions
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C. Investment income is added to gross interest received.
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