According to the Dodd-Frank Bill, Shadow Banks

question 64

Multiple Choice

According to the Dodd-Frank bill, shadow banks:

• A)are prohibited.
• B)must be merged with commercial banks.
• C)are allowed to operate only in other countries.
• D)are subject to regulation of capital and investments similar to that of banks.

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Definitions:

Net Income

Net Income is the total profit of a company after all expenses have been deducted from revenues.

Effective Tax Rate

The average rate at which an individual or a corporation is taxed, calculated by dividing the total tax by the taxable income.

Tax Expense

The total amount of taxes owed by an individual or corporation as a result of taxable activities or income during a fiscal year.

Income Before Taxes

The total revenue of a company minus all expenses except for income tax expenses.