The Following Three FIs Dominate a Local Market and Their

question 55

Multiple Choice

The following three FIs dominate a local market and their total assets are given below.
$\begin{array}{lccc} \text {Institution }& \text { Asset Size}\\ \text {Bank A}&\$ 50 \text { million}\\ \text {Bank B}& \$ 60 \text { million}\\ \text {Bank C}&\$ 90 \text { million}\\\end{array}$
If Bank A acquires Bank B,what is the new Herfindahl-Hirschman Index (HHI) ?

• A)60.
• B)100.
• C)5,800.
• D)5,050.

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Definitions:

Functional Age

Functional age is a measure that describes an individual's age based on physical, emotional, and mental well-being rather than chronological years.

Cognitive Functioning

Mental processes that involve the ability to learn, think, reason, remember, problem solve, and make decisions.

Psychological Well-Being

A broad concept that includes emotional, mental, and social contentment and health.

Societal Pressures

The expectations or demands placed on individuals by society, which can influence behavior, choices, and perceptions of self and others.