The Relative Importance of Various Asset Items on a Commercial

question 74

Multiple Choice

The relative importance of various asset items on a commercial bank's balance sheet reflects a bank's pursuit of which two conflicting goals?

• A) profits and risk
• B) liquidity and profits
• C) assets and liabilities
• D) buying and selling government securities

---

Definitions:

Philosophy

A study or theory of the nature of knowledge, reality, and existence, especially when considered as an academic discipline.

Benchmarking

A process of comparing one's business processes and performance metrics to industry bests or best practices from other companies.

Best Practices

Established methods or techniques that are considered superior to alternatives because they produce results that are superior to those achieved by other means.

Industry

The sector of economy characterized by the production and manufacturing of goods or provision of services.