The Basel Capital Requirements Differ from Previous Capital Standards in All

question 64

Multiple Choice

The Basel capital requirements differ from previous capital standards in all except one of the following ways?

• A)More stringent capital standards for large banks than for small banks.
• B)Inclusion of off balance sheet assets in the asset base.
• C)Restrictions on the amount of goodwill that can be counted towards primary or Tier I capital.
• D)Risk weighting of assets on the basis of credit risk exposure.
• E)Risk weighting of off balance sheet contingencies.

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