For example, in the transaction, I bought a mobile phone. I spent half the money to order a mobile phone from the manufacturer and got the bill of lading. Sell it to you.

I earn money to sell a mobile phone, and I pay only half of the principal, so my leverage is twice as high.

Maturity mismatch, such as deposits, the best is 1 year term loan. But usually the deposit is not that long, but the loan is very long. So, it can only be a mismatch. Banks use interest costs to absorb deposits. If they can't lend smoothly, they will lose money. Therefore, we can only raise funds in the short term, but at the same time, we can keep the overall stability. There is a bigger spread in the middle because the short-term interest rate is low.