With of the Following Is True with Regard to Leverage

Multiple Choice

With of the following is true with regard to leverage?

A) ​The U.S.banking system uses very little leverage to ensure the safety of the banking system.
B) ​Leverage in the banking system increases its potential for profits, but no losses.
C) ​Losses borne by highly leveraged banks can have a ripple effect throughout the financial system.
D) ​All of the above are true