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For a Given Return on Assets,the Lower the Bank Capital

Question 62

Multiple Choice
For a given return on assets,the lower the bank capital is,

For a given return on assets,the lower the bank capital is,


A) the lower the return for the owners of the bank will be.
B) the higher the return for the owners of the bank will be.
C) the lower the credit risk for the owners of the bank will be.
D) both A and C of the above will happen.

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