Which of the following is an example of a financial intermediary?
A) Banks.
B) The Federal Reserve.
C) The U.S. Treasury.
D) The department of finance.

Question

Quizplus · Accepted Answer

Financial intermediaries are institutions that facilitate the flow of funds between investors and borrowers. Banks are a prime example of a financial intermediary as they accept deposits from savers and provide loans to borrowers. The Federal Reserve and the U.S. Treasury are not financial intermediaries, but rather part of the government's financial infrastructure. The department of finance is not a specific institution and does not fit the definition of a financial intermediary.

Which of the Following Is an Example of a Financial