D
dChetty
Member
1. The solution says:
The capital requirements will differ for different products. If a higher proportion of capital intensive products are sold than expected then this may lead to solvency problems. Please explain what would make a product to be more capital intensive than other products. Will solvency issues arise because of a higher reserve being held for capital intensive products?
The capital requirements will differ for different products. If a higher proportion of capital intensive products are sold than expected then this may lead to solvency problems. Please explain what would make a product to be more capital intensive than other products. Will solvency issues arise because of a higher reserve being held for capital intensive products?
Last edited by a moderator: