Multiple Choice
The leverage ratio of an investment firm refers to
A) the ratio of its investment holdings relative to its vault cash.
B) the ratio of its investment holdings relative to its capital.
C) the percentage of deposits held by the firm relative to its deposits with Federal Reserve banks.
D) the percentage of down payments made to the investment firm relative to the size of mortgages issued by the firm.
Correct Answer:
Verified
Correct Answer:
Verified
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