What is the purpose of deposit insurance?

to protect financial institutions from depositors who withdraw their money and close
their accounts on short notice

to protect depositors from unfair or overly expensive fees

to protect the government from having to bail out financial institutions that behave
illegally or irresponsibly with deposits

to protect the money deposited in a financial institution in case that institution goes out
of business

You receive a memo from the vice president of procurement responding to your query. he writes: “it will be very important to maintain product continuity. we have a large base of devoted customers. we want to make sure that the quality and key characteristics of island knight stay the same through this transition. talk to frank, our consulting professional perfumer, for more information about the cologne. seasonal variations in costs are the single most significant factor in our deciding to go with another supplier, so finding a way to limit that should be the top priority. the overall marginal costs and shipping costs are probably somewhat less significant. you may want to talk to cindy, the product manager for island knight, regarding pricing information about the product.” what is the best action to take next?