Question: Question 4 (a) Explain how banks are able to act as intermediaries by reconciling conflicting requirements of lenders and borrowers and reducing costs. (10 marks)

Question 4 (a) Explain how banks are able to act as intermediaries by reconciling conflicting requirements of lenders and borrowers and reducing costs. (10 marks) (b) Give two reasons why financial intermediaries are the most important source of external funds in the market. (10 marks)
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