How do we a measure a bank's capital? We subtract the assets from the liabilities, which is equal to the net worth We subtract the net worth from the assets, which is equal to the liabilities We subtract the liabilities from the assets, which is equal to the net worth We subtract the net worth from the liabilities, which is equal to the assets

Economics (MindTap Course List)
13th Edition
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter12: Money, Banking And The Financial System
Section: Chapter Questions
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How do we a measure a bank's capital?
We subtract the assets from the liabilities, which is equal to the net worth
We subtract the net worth from the assets, which is equal to the liabilities
We subtract the liabilities from the assets, which is equal to the net worth
We subtract the net worth from the liabilities, which is equal to the assets
Transcribed Image Text:How do we a measure a bank's capital? We subtract the assets from the liabilities, which is equal to the net worth We subtract the net worth from the assets, which is equal to the liabilities We subtract the liabilities from the assets, which is equal to the net worth We subtract the net worth from the liabilities, which is equal to the assets
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