1) On a bank's balance sheet, assets are: A) equal to the bank's liabilities B) those items owed by the bank to depositors and others C) the uses of reserves, borrowings and capital D) the sources of acquired funds 2) Collateral is A) the difference between the value of a bank's assets and liabilities B) assets pledged/secured for a borrowing C) the interest rate that banks charge its best customers D) excess reserves minus required reserves 3) Which of the following activities is NOT a primary service of investment banks? A) provide corporate financial advice B) proprietary trading C) underwrite new security issues D) accept deposits and make loans 4) In banking, net interest margin (NIM) refers to the difference between A) the bid and asked price on a financial asset B) interest rates on C&I loans and consumer loans C) the weighted average interest rate on assets and the weighted average interest rate on liabilities D) the interest rate on a long-term U.S. Treasury bond and the 3-month Treasury bill