Banks have attempted to maintain adequate profit levels by ________.
A) making fewer riskier loans, such as commercial real estate loans
B) pursuing new off-balance-sheet activities
C) increasing reserve deposits at the Bank of Canada
D) decreasing capital accounts

Question

Quizplus · Accepted Answer

Banks have sought to maintain or enhance their profitability by engaging in new off-balance-sheet activities, which can include services like derivatives trading, securitization of loans, and fee-based services that do not appear directly on the bank's balance sheet but can generate significant income.

Banks Have Attempted to Maintain Adequate Profit Levels by ________