Which of the Following Would Increase Residual Income

question 39

Multiple Choice

Which of the following would increase residual income?

• A) Decrease in operating income
• B) Decrease in operating assets
• C) Increase in the required ROI
• D) Decrease in margin

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Definitions:

Safeguard

Measures or controls put in place to protect assets, including physical security and internal controls.

Signature Card

A document signed by an account holder at a financial institution that provides a specimen signature for the purpose of verifying future transactions.

ABA Code

A nine-digit identification number assigned to banks in the United States by the American Bankers Association, used for routing checks and electronic payments.

Federal Reserve District

One of the twelve regions established by the Federal Reserve Act, each with a Federal Reserve Bank, to regulate and oversee banking operations in the United States.