Banking regulators have a powerful weapon to encourage compliance with minimum capital guidelines as they can compel a noncomplying bank to do any or all of the following except:

Multiple Choice

require the bank to increase the number of outside directors on its board.

require the bank to submit a plan describing how and when its capital will be increased.

subject the bank to more frequent examinations by the regulator.

deny a request to merge, open new branches, or expand services.