According to the textbook,a bank's asset-utilization ratio reflects the mix and yield on a bank's portfolio of assets.

Question

Quizplus · Accepted Answer

The asset-utilization ratio measures how effectively a bank is generating revenue from its assets, including loans, investments, and other earning assets, as well as the mix and yield on those assets. It is calculated by dividing the bank's net interest income by its average earning assets. Therefore, the statement that the asset-utilization ratio reflects the mix and yield on a bank's portfolio of assets is true.

According to the Textbook,a Bank's Asset-Utilization Ratio Reflects the Mix