Which of the Following Is Not an Important Addition Made

question 73

Multiple Choice

Which of the following is not an important addition made to the Basel Accords by Basel III in 2010?

• A) It supplements capital requirements based on risk-weighted assets with restrictions on leverage.
• B) It introduces three buffers over and above capital requirements itself.
• C) It adds a liquidity requirement that compels banks to hold a quantity of high-quality liquid assets.
• D) It ends the too-big-to-fail problem.

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Definitions:

Income Tax Expense

The amount of money a company is required to pay to the government based on its taxable income.

Comprehensive Income

Represents the total change in equity for a reporting period other than transactions from owners, including all revenues, expenses, gains, and losses.

Operation Discontinuation

The process of ceasing operations in certain business segments or units, often resulting in their sale or closure.

Income Statement

A financial report that shows a company's revenues, expenses, and profits over a specific period, revealing financial performance.