What Is the Return on Equity for a Bank That

question 88

Multiple Choice

What is the return on equity for a bank that has an equity multiplier of 9, an interest expense ratio of 6%, and a return on assets of 1.2%?

• A) 10.8%
• B) 6.0%
• C) 8.0%
• D) 4.8%
• E) 0.65%

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Definitions:

Operant Behavior

Behavior that operates on, or manipulates, the environment.

Respondent Behavior

Behavior that occurs as an automatic response to some stimulus, often conditioned by previous experiences.

Maladaptive Behavior

Actions or tendencies that negatively affect an individual's ability to function adequately in work, relationships, or other areas of life.

Observational Learning

Observational learning is a learning process through which individuals alter their behavior after observing others, modeling their actions based on what they have observed.