Which of the Following Procedures Does APRA Require to Be

question 31

Multiple Choice

Which of the following procedures does APRA require to be adopted by FIs as part of their liquidity management strategies?

• A)Liquidity management policy approved by the board.
• B)Procedures for assessing and measuring liquidity.
• C)A formal contingency plan for dealing with a liquidity crisis.
• D)All of the listed options are correct.

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Definitions:

Book Value

The net value of a company's assets minus its liabilities, often used to assess the company's worth on paper.

Accounting Loss

The situation where a company's total expenses exceed its revenues, leading to a negative income figure in the financial statements.

Maturity Values

The amount that will be paid to the holder of a financial instrument at the time of its maturity, including principal and any accrued interest.