When FIs Form Off-Balance Sheet Subsidiaries to Remove Assets from Their

question 82

Multiple Choice

When FIs form off-balance sheet subsidiaries to remove assets from their balance sheet,the subsidiary activities

• A)are regulated as though they are part of the parent institution.
• B)occur beyond the reach of existing state and federal monitoring and regulation.
• C)are monitored and regulated by the Securities and Exchange Commission (SEC).
• D)are reported to the National Association of Securities Dealers (NASD).

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Definitions:

Recessive Gene

A gene that produces its characteristic phenotype only when its allele is identical—requiring two copies for the trait to be expressed.

Carriers

Individuals who have one copy of a mutated gene that can lead to certain genetic conditions but do not show symptoms themselves.

Tay-Sachs Disease

Tay-Sachs Disease is a fatal genetic disorder, typically identified in infants, that results in the destruction of nerve cells in the brain and spinal cord.

Sickle-Cell Anemia

A hereditary blood disorder characterized by red blood cells that assume an abnormal, rigid, sickle shape, leading to various health complications.