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Question
Which of the following is (are) the key component(s) included in the International Banking Act (IBA) of 1978?
A. Foreign banks are required to follow the same branching laws as U.S. banks.
B. Legal reserves requirements determined by the Federal Reserve Board are compulsory against deposits accepted by U.S. branch or agency offices of foreign banks with consolidated assets of $1 billion or more.
C. U.S. branches of foreign banks are eligible for deposit insurance under stipulated conditions.
D. U.S. branches of foreign banks have access to certain Federal Reserve services, such as the ability to borrow from the Federal Reserve banks.
E. All of the options are correct.
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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______________ is labeled "Accounting for Derivative Instruments and Hedging Activities".
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The short-term securities of the bank, including T-Bills and commercial paper, are often called __________________________ because they are the second line of defense to meet demands for cash.
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A. more capital than other banks.
B. more aggressive marketing plans than other banks.
C. more employees than other banks.
D. more advanced technology than other banks.
E. All the options are correct.
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A. offering memorandum
B. offering article
C. underwriter's commitment report
D. merchant banker's report
E. None of the options are correct
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A. two
B. three
C. five
D. seven
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A. Traffic count
B. Number of retail shops
C. Average age of the local population
D. Population Density
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Which of the following would not be a telephone service that customers can get from a bank call center?
A. The current balance in their account
B. A fax copy of a loan application to the bank
C. List of what transactions have passed through the account
D. Access to their safety deposit box
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A(n) _________________________ is an agreement between a buyer and a seller today which calls for the delivery of a particular security in exchange for cash at some future date for a set price.
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What is the yield to maturity on this T-Bill?
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A. It should fall by 2 percent.
B. It should fall by 0.6 percent.
C. It should fall by 4 percent.
D. It should fall by 1 percent.
E. It should not show any fall.
Q:
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
C. Demand deposits that do not pay interest
D. Short-term securities issued by the government about to mature
E. All of the options are correct.
Q:
A bank is liability sensitive, if its:
A. deposits and non-deposit borrowings are not affected by changes in interest rates.
B. interest-sensitive assets exceed its interest-sensitive liabilities.
C. interest-sensitive liabilities exceed its interest-sensitive assets.
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The _______________ is determined by the demand and supply for loanable funds in the market.
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A. 13 percent
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C. -$50.25 million
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A. 100,000 shares
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C. 46,667 shares
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A. Earnings volatility
B. Reduction of the exchange ratio
C. Dilution of ownership
D. Increased risk of bankruptcy
E. None of the options is correct
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According to the textbook, the lackadaisical profit performance surrounding a merger may be explained by the:
A. tax inefficiencies due to a merger.
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.
E. All of the options are correct.
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According to the textbook, bank mergers are often motivated by:
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C. expected tax benefits.
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E. All of the options are correct.
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