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Question
Geoff Willis and Mary Williams, president and CEO respectively of the First National Bank of Edmond, come from a background in retail banking. As a strategic initiative, they have decided to focus their lending activities on consumer loans and loans to small business. What factor determining the growth and mix of loans does this fact reflect?
A. Characteristics of the market area
B. Lender size
C. The experience and expertise of management
D. The written loan policy of the bank
E. Bank regulations
Answer
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Related questions
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Which of the following adjustments are made to gross loans and leases to obtain net loans and leases?
A. Loan and lease loss allowance is added to gross loans.
B. Unearned income is subtracted from gross interest received.
C. Investment income is added to gross interest received.
D. Loan and lease loss allowance and unearned income is subtracted from gross loans.
E. Loan and lease loss allowance is subtracted from gross loans and investment income is added to gross interest received.
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Which of the following would not be a telephone service that customers can get from a bank call center?
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B. A fax copy of a loan application to the bank
C. List of what transactions have passed through the account
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What is the yield to maturity on this T-Bill?
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C. It should fall by 4 percent.
D. It should fall by 1 percent.
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Which of the following would be an example of a repriceable asset?
A. Money the bank has borrowed from the money market
B. Cash in the vault
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A. deposits and non-deposit borrowings are not affected by changes in interest rates.
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B. Reduction of the exchange ratio
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According to the textbook, the lackadaisical profit performance surrounding a merger may be explained by the:
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B. lenders cutting off credit lines due to the merger.
C. accounting irregularities when reporting earnings of the combined entity.
D. managerial hubris and sizeable merger premium that acquirers have to pay to shareholders of the acquired firms.
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