Examlex

Solved

Refer to the Following Table When Answering
Table 10

question 40

Multiple Choice

Refer to the following table when answering
Table 10.2: Hypothetical Bank Sheet ($ millions)
 Column A  Column B  Loans $6,800 Deposits $7,500 Investments 3,700 Short Term Debt 300 Cash &  Reserves 1,100 long Term Debt 1,800\begin{array}{lr|lr}{\text { Column A }} &&{\text { Column B }} \\\hline \text { Loans } & \$ 6,800 & \text { Deposits } & \$ 7,500 \\\text { Investments }&3,700 & \text { Short Term Debt } & 300 \\\begin{array}{l}\text { Cash \& } \\\text { Reserves }\end{array} &1,100 & \text { long Term Debt } &1,800 \\\hline\end{array}
-Given the information in Table 10.2, if the value of this bank's investments decreases by $1,000, what is the bank's equity?


Definitions:

Privatization

The process of transferring ownership of a business, enterprise, agency, or public service from the government to private individuals or organizations.

Monopolization

The process or state where a single company or entity gains exclusive control over a particular market or industry.

Natural Monopolies

A market dominated by a single seller because of high entry barriers or because the service or product is most efficiently supplied by a single provider.

Government Takeover

An acquisition where a government assumes control over a company or industry, often to stabilize the sector or protect national interests.

Related Questions