Question: A bank is engaged in _____ when it accepts the farmer's deposit of $127,000, and then makes a business loan of $50,000 to a small

A bank is engaged in _____ when it accepts the farmer's deposit of $127,000, and then makes a

business loan of $50,000 to a small business owner.

A. financial intermediation

B. financial coordination

C. financial equilibrium

D. depository intermediaries

E. intermediary banking

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