25. Credit unions are not taxed which allows them to: A Typically charge lower fees on accounts. B. Typically pay higher interest on deposits. C. Typically have lower minimum balances. D. All of the above. 26. Credit union have little exposure to rate risk because: A. Their assets are all long term maturities _B. Movements in interest revenues and interest expense is highly correlated. C. Both A and B above D. Neither A or B above. 27. Securitization of loans is when A. Loans made with collateral _B. Loans are made with out collateral. C. Loans are advanced against securities D. A portfolio of loans is combined with others and bonds issued with the loans held as security for the bonds 28. Finance companies have little liquidity risk because _A. Their primary source of funds is borrowing so they are not susceptible to unexpected fund withdrawals. B. They cannot sell their assets quickly C. Both A and B above D. Neither A or B above 29. Finance companies manage they credit risk with: A. Interest rate futures B. Interest caps C. By charging less credit worthy customers higher interest rates D. None of the above 30. Business finance companies tend to offer specialized lending to companies with specific needs. An example is: A. Lending against accounts receivables B. Lending for raw material inventory C. Both A and B above D. Neither A or B above 25. Credit unions are not taxed which allows them to: A Typically charge lower fees on accounts. B. Typically pay higher interest on deposits. C. Typically have lower minimum balances. D. All of the above. 26. Credit union have little exposure to rate risk because: A. Their assets are all long term maturities _B. Movements in interest revenues and interest expense is highly correlated. C. Both A and B above D. Neither A or B above. 27. Securitization of loans is when A. Loans made with collateral _B. Loans are made with out collateral. C. Loans are advanced against securities D. A portfolio of loans is combined with others and bonds issued with the loans held as security for the bonds 28. Finance companies have little liquidity risk because _A. Their primary source of funds is borrowing so they are not susceptible to unexpected fund withdrawals. B. They cannot sell their assets quickly C. Both A and B above D. Neither A or B above 29. Finance companies manage they credit risk with: A. Interest rate futures B. Interest caps C. By charging less credit worthy customers higher interest rates D. None of the above 30. Business finance companies tend to offer specialized lending to companies with specific needs. An example is: A. Lending against accounts receivables B. Lending for raw material inventory C. Both A and B above D. Neither A or B above