If a Bank Needs to Raise the Amount of Capital

question 29

Multiple Choice

If a bank needs to raise the amount of capital relative to assets,a bank manager might choose to

• A) buy back bank stock.
• B) pay higher dividends.
• C) shrink the size of the bank.
• D) sell securities the bank owns and put the funds into the reserve account.

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Definitions:

Bell Canada

A major Canadian telecommunications and media company that provides a wide range of products and services including internet, television, and phone services.

Work Redesign

Involves altering jobs to improve employee satisfaction, productivity, and efficiency, potentially by enhancing job scope, depth, or work processes.

Social Networks

Platforms or communities where individuals can interact, share, and communicate with each other over the internet, or the interconnected structure of social relations.

Significant Decisions

Major choices or judgments that have a large impact on an individual's or organization's direction and outcomes.