20-93 Which of the following is NOT a typical argument against market value accounting?
A) Market value accounting introduces an unnecessary degree of variability into an FI's earnings.
B) The use of market value accounting may reduce the willingness of FI's to invest in longer-term assets.
C) FI's are increasingly trading,selling,and securitizing assets.
D) Market value accounting is difficult to implement.
E) Market value accounting may interfere with an FI's special functions as lenders and monitors of credit.
Correct Answer:
Verified
Q92: 20-101 The Basel II Accord effective at
Q93: 20-96 The concept of prompt corrective action
Q94: 20-91 Simulate Bank has 2 million shares
Q95: 20-105 Broker-dealers must calculate a market value
Q96: 20-95 Bank regulators set minimum capital standards
Q98: 20-90 Which ratio shows degree of discrepancy
Q99: 20-99 The Basle capital requirements are based
Q100: 20-85 The par value of shares is
A)the
Q101: 20-111 The potential exposure component of the
Q102: 20-112 The current exposure component of the
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents