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A. What is financial intermediation? Explain meaningfully. Answer the question only! B. Why do banks exist? Explain using relevant concepts, theories etc by particularly referring

A. What is financial intermediation? Explain meaningfully. Answer the question only!

B. Why do banks exist? Explain using relevant concepts, theories etc by particularly referring to information asymmetries. Explain meaningfully. Answer the question only!

C. Why banks should be regulated and supervised? Explain meaningfully. Answer the question only!

D. What is the difference between a bank that is insolvent and one that is illiquid? Explain meaningfully. Answer the question only!

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