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Answer the following questions: 1- Explain the main objective of a commercial bank with respect to net spread and leverage. 2- Explain and describe one

Answer the following questions:

1- Explain the main objective of a commercial bank with respect to net spread and leverage.

2- Explain and describe one change that occurred as a result of the Financial Modernization Act of 1999 that altered the nature of commercial banking. Be sure to explain how this change affected the behavior of banks and any risks that were created as a result.

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