Which of the Following Is an Example of a Solvent

question 1

Multiple Choice

Which of the following is an example of a solvent bank?

• A)A bank that is out of funds to meet the demand of customers
• B)A bank with negative equity capital
• C)A bank that has high default risk on debt issue
• D)A bank with positive equity capital

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Definitions:

Code of Ethics

A set of principles and standards that guides ethical professional conduct and decision making within an organization.

Ethical Tolerances

The degree to which behavior deviating from ethical norms is accepted or allowed within a group, organization, or society.

Ethics Ombudsperson

An official given the responsibility of corporate conscience who hears and investigates ethical complaints and informs top management of potential ethical issues.

Corporate Conscience

A concept referring to a company's ethical compass and its commitment to doing what is right in terms of social responsibility, beyond mere compliance with laws.