Question
2. Bank operation regulation Regulation of Deposit Insurance Which of the following scenarios best represents a premium that most banks pay for federal deposit insurance?
2. Bank operation regulation
Regulation of Deposit Insurance
Which of the following scenarios best represents a premium that most banks pay for federal deposit insurance?
Credit Ally Bank has $200 million in deposits and pays a premium of $3,600,000.
Dominion Bank has $500 million in deposits and pays a premium of $30,000.
Core Financial Bank has $200 million in deposits and pays a premium of $2,250,000.
Lifespark Financial Bank has $300 million in deposits and pays a premium of $450,000.
Regulation of Deposits
Which of the following allowed banks to begin offering accounts to customers who had no maturity or interest rate ceiling, and allowed the banks opportunities to acquire failing institutions across geographic boundaries?
The Sarbanes-Oxley (SOX) Act
The Garn-St. Germain Act
The Riegle-Neal Interstate Banking and Branching Efficiency Act
The Community Reinvestment Act (CRA)
Regulation of Bank Loans
Which of the following are regulated to limit bank default risk exposure? Check all that apply.
Highly leveraged transactions
Loans to a single borrower
Foreign loans
Loans to members within their community
Regulation of Investment Securities
Which of the following requires that banks use not only credit ratings assigned by credit rating agencies but also other methods to assess the risk of debt securities, including their own assessment of risk?
Gramm-Leach-Bliley Act
The Financial Reform Act of 2010
The Depository Institutions Deregulation and Monetary Control Act (DIDMCA)
The Glass-Steagall Act
Regulation of Securities Services
Which of the following allows single holding companies to engage in standard banking activities, securities trading, underwriting, insurance, etc.?
Gramm-Leach-Bliley Act
The Glass-Steagall Act
The Sarbanes-Oxley (SOX) Act
The Financial Reform Act of 2010
Regulation of the Accounting Process
Which of the following was passed to ensure publicly traded banks and firms became more transparent about the financial condition of their company?
The Financial Reform Act of 2010
The Glass-Steagall Act
The Sarbanes-Oxley (SOX) Act
Gramm-Leach-Bliley Act
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