One of the Concerns of Increased Bank Consolidation Is the Reduction

question 123

Multiple Choice

One of the concerns of increased bank consolidation is the reduction in community banks which could result in

• A)less lending to small businesses.
• B)loss of cultural identity.
• C)higher interest rates.
• D)more bank regulation.

---

Definitions:

Retained Earnings

The portion of a company's profits that is kept or retained rather than distributed to shareholders or owners as dividends.

Net New Equity

The amount of equity capital a company raises through the issuance of new shares minus any shares it has bought back, reflecting the net increase in share capital.

Non-Cash Items

Expenses or incomes recorded in accounting but do not involve any actual cash flow, such as depreciation, amortization, or stock-based compensation.

Capital Spending

Expenditures by a company for physical assets like property, industrial buildings, or equipment.