Which of the following is NOT a reason why banks are more willing to lend to some firms than to others?
A)Banks prefer to lend to firms with more stable cash flows.
B)Banks prefer to lend to firms with more physical as opposed to intellectual assets.
C)Banks prefer to lend to firms that remain in a specific geographical region.
D)All of the above are preferences for banks.

Question

Quizplus · Accepted Answer

Banks do not typically have a preference for lending to firms that remain in a specific geographical region. This is not a factor that would impact a bank's decision to lend to a particular firm. Therefore, option C is the correct answer. Options A and B are reasons why banks may be more willing to lend to some firms than to others, while option D is incorrect because it suggests that all the options are preferences for banks, which is not true.

Which of the Following Is NOT a Reason Why Banks