On a Bank's Balance Sheet, the Value of Its Assets

question 59

Multiple Choice

On a bank's balance sheet, the value of its assets must equal the value of its _____

• A) net worth only.
• B) liabilities only.
• C) its revenues plus costs.
• D) its liabilities plus net worth.
• E) its revenues minus costs.

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Definitions:

Individual Transferable Quotas (ITQs)

Limits (quotas) set by a government or a fisheries commission on the total number or total weight of a species that an individual fisher can harvest during some particular time period; fishers can sell (transfer) the right to use all or part of their respective individual quotas to other fishers.

TAC

Total Average Cost, the sum of all production costs divided by the number of goods produced, indicating the average cost per unit of product.

Arms Race

A competition between two or more parties to have the best armed forces and military technology, often leading to increased military spending and stockpiling of weapons.

Property Rights

Legal rights to possess, use, and dispose of assets including real property (land and buildings) and intellectual property.