Asked by Rachel Romero on Jun 14, 2024
Verified
Banks that fail to comply with regulations,including the failure to maintain an adequate capital adequacy ratio,face
A) higher costs.
B) lower costs.
C) mergers and expansion of services.
D) incarceration of officers.
Capital Adequacy Ratio
A measure used by banks to ensure they have enough capital to cover their risks and continue operating in case of losses.
Banking Regulations
Rules and guidelines set by authorities that govern the operations, standards, and procedures of banks and financial institutions.
Noncompliance
Refers to the failure to act according to set rules, standards, or laws.
- Scrutinize the repercussions of regulatory guidelines on accounting reports and enterprise activities.
Verified Answer
Learning Objectives
- Scrutinize the repercussions of regulatory guidelines on accounting reports and enterprise activities.
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