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Chapter 21 3. What is the difference between the economic definition of capital and the book value definition of capital? a. How does economic value

Chapter 21

3. What is the difference between the economic definition of capital and the book value definition of capital? a. How does economic value accounting recognize the adverse effects of credit risk? b. How does book value accounting recognize the adverse effects of credit risk?

7. What is the significance of prompt corrective action as specified by the FDICIA legislation?

9. What are the major features of the Basel III capital requirements?

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