The 1920s Were Characterized by Large Numbers of Bank Failures

question 30

Multiple Choice

The 1920s were characterized by large numbers of bank failures each year, especially among country banks.  Country banks were particularly inclined to fail because

• A) they tended to open too many branches.
• B) they were not allowed to issue checking accounts.
• C) they were not allowed to join the Federal Reserve system.
• D) farm mortgages constituted the major portion of their loans.
• E) All of the above.

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Definitions:

Statutory Close Corporation Supplement

A legal provision or amendment that provides specific regulations and frameworks for closely held corporations.

Corporate Formalities

The procedures, rules, and policies that a corporation must follow to ensure legality and protect its shareholders.

Annual Meeting

A yearly gathering of the members or shareholders of an organization to discuss its performance, elect leadership, or make decisions on corporate issues.

Directors

Directors are individuals elected to a corporation's board to oversee and guide the organization's policies and direction.