The Financial Institutions Reform, Recovery, and Enforcement Act of 1989 included which of the following.
A) a qualified thrift lender test of at least 70 percent of assets in real estate related assets
B) prohibition of junk bond holdings
C) higher capital requirements
D) all of the above are part of the legislation.

Question

Quizplus · Accepted Answer

The Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA) included all of the mentioned elements: a qualified thrift lender test requiring at least 70 percent of assets in real estate related assets, prohibition of junk bond holdings, and higher capital requirements. These measures were part of the efforts to address the savings and loan crisis of the 1980s.