Regulators and Supervisors of Banks Are Challenged by All of the Following

question 55

Multiple Choice

Regulators and supervisors of banks are challenged by all of the following, except:

• A)Globalization of financial services
• B)The use of new financial instruments that shift risk without shifting ownership
• C)Technological innovation
• D)Reinforcement by Congress of functional and geographic barriers in banking

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Definitions:

Payroll Taxes Expense

Taxes that employers are required to pay based on the wages and salaries of their employees, such as Social Security and Medicare taxes.

FICA Tax

A U.S. federal payroll tax used to fund Social Security and Medicare, distributed between employees and employers.

FUTA Tax

A United States federal tax levied on employers to fund state workforce agencies and unemployment benefits.

SUTA Tax

State Unemployment Tax Act; a tax that employers are required to pay to the state government to fund unemployment benefits for workers who lose their jobs.