On a Bank's Balance Sheet, Assets Are

question 3

Multiple Choice

On a bank's balance sheet, assets are

• A)the uses of acquired funds.
• B)the sources of acquired funds.
• C)those items owed by the bank to depositors and others.
• D)by definition equal to the bank's liabilities.

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Definitions:

Tax Rate

The share of income that is required to be paid to the government by an individual or corporation as tax.

Mutually Exclusive Projects

Projects that, if accepted, preclude the acceptance of any other projects within the same category.

Managerial Decision

The process by which managers choose among alternative strategies or actions to solve organizational problems or to take advantage of opportunities.

NPV

Net Present Value, a method used in capital budgeting to determine the profitability of an investment or project by calculating the present value of expected cash flows versus initial cost.