Question

Credit unions have several advantages over banks. These include the following: I. Credit unions are not taxed. II. Credit unions are better diversified than banks. III. Credit unions can collectively pool funds. IV. Due to regulations, credit unions have better economies of scale and scope than banks. V. Because of their ties to employers, credit unions have better personnel expertise than banks.

Answer 1

Answer: I and III only

Explanation: Credit unions are mutual associations that are not open to the general public.

Unlike banks, Credit unions are not taxed and they can collectively pool funds.