One Way for Bank Regulators to Assure Depositors That a Bank

Multiple Choice

One way for bank regulators to assure depositors that a bank is not taking on too much risk is to require the bank to

A) diversify its loan portfolio.
B) reduce its equity capital.
C) reduce the size of its loan portfolio.
D) do both A and B of the above.
E) do both B and C of the above.