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Latest C_SEN_2011 Dumps Files, C_SEN_2011 New Dumps Free | Reliable C_SEN_2011 Test Questions - Kolis

  • Exam Number/Code : C_SEN_2011
  • Exam Name : SAP Certified Application Associate - SAP Enable Now
  • Questions and Answers : 260 Q&As
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NEW QUESTION: 1
Bank depositors in the United States are all financially protected against bank failure because the government insures all individuals' bank deposits. An economist argues that this insurance is partly responsible for the high rate of bank failures, since it removes from depositors any financial incentive to find out whether the bank that holds their money is secure against failure. If depositors were more selective, then banks would need to be secure in order to compete for depositors' money.
The economist's argument makes which of the following assumptions?
A. Potential depositors are able to determine which banks are secure against failure.
B. The more a depositor has to deposit, the more careful he or she tends to be in selecting a bank.
C. The difference in the interest rates paid to depositors by different banks is not a significant factor in bank failures.
D. Bank failures are caused when big borrowers default on loan repayments.
E. A significant proportion of depositors maintain accounts at several different banks.
Answer: A
Explanation:
Explanation/Reference:
Explanation:

 

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