Matching
Match the following:
Premises:
Maturity matching principle
Responses:
Enables a lender to maintain a collateral position in all of the inventory at a borrower's facility.
Permits the disbursement of funds at remote locations without the need to maintain excess cash at those locations.
An attempt to transfer the task of maintaining inventory from a manufacturer to its suppliers.
The length of time it takes to pay off a loan should be approximately equal to the duration of the project it supports.
Correct Answer:
Premises:
Responses:
Enables a lender to maintain a collateral position in all of the inventory at a borrower's facility.
Permits the disbursement of funds at remote locations without the need to maintain excess cash at those locations.
An attempt to transfer the task of maintaining inventory from a manufacturer to its suppliers.
The length of time it takes to pay off a loan should be approximately equal to the duration of the project it supports.
Premises:
Enables a lender to maintain a collateral position in all of the inventory at a borrower's facility.
Permits the disbursement of funds at remote locations without the need to maintain excess cash at those locations.
An attempt to transfer the task of maintaining inventory from a manufacturer to its suppliers.
The length of time it takes to pay off a loan should be approximately equal to the duration of the project it supports.
Responses:
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