Which Agency's Approval Is Required Before a Bank Is Permitted

question 58

Multiple Choice

Which agency's approval is required before a bank is permitted to operate in Australia?

• A)APRA.
• B)RBA.
• C)ASIC.
• D)Both APRA and RBA.

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Definitions:

Erosion Cost

The gradual loss of asset value due to factors like wear, tear, and technological obsolescence, affecting long-term profitability.

Depreciation

The planned apportionment of the price of a tangible asset across its operational lifetime.

Capital Spending

Capital deployed by a business for the purchase or enhancement of physical properties, such as premises, workshops, or apparatus.

Inventory Requirements

The specific amount of stock that a company needs to have on hand to meet customer demand and support production processes.