Questions
BU.232.715.81.SP25 HW5
Single choice
The primary role of capital for a bank is to assure the highest possible return on equity for its shareholders.
Options
A.TRUE
B.FALSE
View Explanation
Verified Answer
Please login to view
Step-by-Step Analysis
The statement presented is: 'The primary role of capital for a bank is to assure the highest possible return on equity for its shareholders.'
Option 1: TRUE. This claim is misleading because while banks seek to maximize value for shareholders, the......Login to view full explanationLog in for full answers
We've collected over 50,000 authentic exam questions and detailed explanations from around the globe. Log in now and get instant access to the answers!
Similar Questions
Question33 Suppose that homeowners pay back $12 million of residential mortgages, and the bank uses the proceeds to finance a new bridge of a BB- rated borrower. Will this transaction affect capital levels? [select: , Yes, No]. ResetMaximum marks: 3 Flag question undefined
Bank's capital includes:
Bank capital performs several important roles except:
Bank capital performs several important roles except:
More Practical Tools for Students Powered by AI Study Helper
Making Your Study Simpler
Join us and instantly unlock extensive past papers & exclusive solutions to get a head start on your studies!