A Capital Adequacy Ratio Measures

question 71

Multiple Choice

A capital adequacy ratio measures:

• A) the value of a bank's capital to its risk-weighted portfolio of assets.
• B) the proportion of deposits that a bank should hold in the form of cash.
• C) the percentage of deposits that a bank should hold in the form of gold.
• D) the ratio of reserves that need to be held as near-liquid assets.

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Definitions:

Social Life

Interactions, activities, and relationships that individuals engage in with others in society.

Physical Health

Physical Health pertains to the condition of an individual's body, including all systems' functioning and absence of disease.

General Adaptation Syndrome

A theoretical model describing the body's short-term and long-term reactions to stress, proposed by Hans Selye, comprising three stages: alarm, resistance, and exhaustion.

Hans Selye

A pioneering Hungarian-Canadian endocrinologist who is credited with founding the field of stress research, identifying the General Adaptation Syndrome.