Banks with relatively ____ ROAs are possibly incurring ____ noninterest expenses .
A)low; low
B)low; high
C)high; high
D)None of these are correct.

Question

Quizplus · Accepted Answer

Banks with relatively low Return on Assets (ROAs) might be experiencing high noninterest expenses, which can reduce their overall profitability. Noninterest expenses include operational costs not directly tied to the bank's primary activities of lending and investing, such as salaries, rent, and technology costs. High noninterest expenses can significantly impact a bank's efficiency and profitability, leading to a lower ROA.

Banks with Relatively ____ ROAs Are Possibly Incurring ____ Noninterest

Banks with Relatively ROAs Are Possibly Incurring Noninterest