Exam 3: The Organization and Structure of Banking and the Financial-Services Industry

A bank holding company that wishes to acquire _________ or more of equity shares of an additional bank must seek approval from the Federal Reserve Board.

Banks with _______ in assets are generally called community banks.

A bank devoted principally to the markets for smaller,locally based deposits and loans is often referred to as a(n):

A company which owns stocks of three different banks is categorized as a(n):

______________________ is the idea that cost of producing multiple services,using the same organization and resources,will grow at a lower rate as the product mix expands.

According to the textbook,large banks possess some potential advantages over small and medium-size banks.Which of the following is not such an advantage?

Gradual evolution of markets and institutions such that geographic boundaries do not restrict financial transactions is known as:

There is evidence that branch banks charge higher service fees for some banking services than unit banks,which reflects greater knowledge on the part of larger banks concerning true cost of service.

Bank holding companies are allowed to own nonbank businesses as long as those businesses offer services closely related to banking.

In banking,organizational form follows _________,because banks usually are organized in such a way as to carry out the tasks and supply the services demanded of them.

Which of the following is one of the few states that has opted out of interstate banking?

Recent research suggests that branch banks tend to be more profitable than either unit or holding company banks,while interstate banks tend to be the most profitable of all.

There are only a very small number of unit banks in the U.S.today.

Majority of banks today are:

X-efficiency is a concept which measures the divergence between the actual operating costs and the lowest possible operating costs of a financial services firm if it is operating under maximum efficiency.

____________ and ___________ banks tend to be larger and hold more of the public's deposits in the United States.

Over the last half-a-decade,the number of banks in the U.S.has __________ and the number of branches has ________.

A bank which offers its full range of services from only one office is known as a:

Relative to manufacturing firms,banks tend to have ___________ number of board members.

A bank which operates exclusively over the internet is known as a ___________ bank.