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Q1. Consider the following statements about Capital Adequacy Ratio (CAR): 1. Capital Adequacy Ratio (CAR) is the ratio of a bank’s capital in relation to its risk-weighted assets and current liabilities. 2. The risk-weighted assets take into account credit risk only. Select the correct answer using the codes given:

Answer»

Q1. Consider the following statements about Capital Adequacy Ratio (CAR):

1. Capital Adequacy Ratio (CAR) is the ratio of a bank’s capital in relation to its risk-weighted assets and current liabilities.

2. The risk-weighted assets take into account credit risk only.

Select the correct answer using the codes given:




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