What Is the Market Share of Bank 1 A)125 Percent

question 132

Multiple Choice

What is the market share of Bank 1?
$\begin{array}{lccc} \text {Bank }& \text { Asset Size}\\ 1&\$ 100 \text { million}\\2& \$ 200 \text { million}\\3&\$ 500 \text { million}\\\end{array}$

• A)12.5 percent.
• B)37.5 percent.
• C)25.0 percent.
• D)62.5 percent.

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Definitions:

External Financing Needed

The amount of funding a company must seek from outside sources to finance its planned growth or investment activities, beyond what can be funded by retained earnings or internal operations.

Retains

Refers to the portion of earnings or profits that a company decides to keep rather than distribute to shareholders as dividends, often used for reinvestment.

Constant Ratio

A strategy involving maintaining a fixed percentage allocation among different asset classes.

Dividend Payout Ratio

A financial metric that shows the percentage of earnings a company distributes to its shareholders in the form of dividends.