One of the Ratios Used in the Liquidity Indicator Approach

question 81

Short Answer

One of the ratios used in the liquidity indicator approach to managing a financial institution's liquidity needs is ___________.This ratio is cash and deposits due from depository institutions divided by total assets,where a greater ratio indicates a stronger liquidity position.

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Definitions:

Compound

A material created when two or more elements chemically combine in definite ratios.

2,4-dimethylpyridine

An organic compound with a pyridine ring and methyl groups at the 2nd and 4th positions.

Structure

The arrangement or organization of parts to form a whole, in context, typically referring to the molecular geometry or arrangement of atoms within a compound.

Piperidine

An organic compound, a nitrogenous six-membered ring, used as a building block in the synthesis of pharmaceuticals and other organic compounds.