FINA 3317 - Chapter 14 | Questions with 100% Verified Answers
| Latest Update 2026/2027
Question: Which of the following trends in the number and industry assets of savings institutions is/are correct?
I. The number of savings institutions has fallen over time. II. The number of savings institutions has increased
over time. III. Total industry assets fell during the recession of the late 2000s. IV. Total industry assets are
falling over time. V. Total industry assets are stable but the number of savings institutions has fallen.
Answer: I and III only
Question: The QTL test requires that thrifts:
Answer: invest at least 65 percent of their assets in mortgages or mortgage-related assets.
Question: Which one of the following has the highest concentration of mortgage-related assets on the balance
sheet?
Answer: Savings institutions
Question: After 2011, savings institutions have primarily been regulated by the:
Answer: Office of the Comptroller of the Currency.
Question: In 2019, the largest U.S. savings institution was:
Answer: Charles Schwab Bank.
Question: The predominant liabilities for savings institutions are:
Answer: transaction accounts and small time and savings deposits.
Question: Historically, most savings institutions were established as:
Answer: mutual organizations.
Question: Deposits at savings banks are backed by the _______________ and deposits at savings institutions are
backed by the ______________.
Answer: DIF; DIF
Question: _____________ are the most diversified of depository institutions and ______________ are on average the
largest depository institutions.
Answer: Commercial banks; commercial banks
Question: Credit unions are: I. mutual associations. II. not open to the general public. III. for profit institutions.
Answer: I and II only
Question: The U.S. Central Credit Union and the corporate credit union:
Answer: provide investment and liquidity services to corporate credit unions.
Question: Credit unions have several advantages over banks. These include the following: I. Credit unions are
not taxed. II. Credit unions are better diversified than banks .III. Credit unions can collectively pool funds. IV.
Due to regulations, credit unions have better economies of scale and scope than banks. V. Because of their ties
to employers, credit unions have better personnel expertise than banks
Answer: I and III only
| Latest Update 2026/2027
Question: Which of the following trends in the number and industry assets of savings institutions is/are correct?
I. The number of savings institutions has fallen over time. II. The number of savings institutions has increased
over time. III. Total industry assets fell during the recession of the late 2000s. IV. Total industry assets are
falling over time. V. Total industry assets are stable but the number of savings institutions has fallen.
Answer: I and III only
Question: The QTL test requires that thrifts:
Answer: invest at least 65 percent of their assets in mortgages or mortgage-related assets.
Question: Which one of the following has the highest concentration of mortgage-related assets on the balance
sheet?
Answer: Savings institutions
Question: After 2011, savings institutions have primarily been regulated by the:
Answer: Office of the Comptroller of the Currency.
Question: In 2019, the largest U.S. savings institution was:
Answer: Charles Schwab Bank.
Question: The predominant liabilities for savings institutions are:
Answer: transaction accounts and small time and savings deposits.
Question: Historically, most savings institutions were established as:
Answer: mutual organizations.
Question: Deposits at savings banks are backed by the _______________ and deposits at savings institutions are
backed by the ______________.
Answer: DIF; DIF
Question: _____________ are the most diversified of depository institutions and ______________ are on average the
largest depository institutions.
Answer: Commercial banks; commercial banks
Question: Credit unions are: I. mutual associations. II. not open to the general public. III. for profit institutions.
Answer: I and II only
Question: The U.S. Central Credit Union and the corporate credit union:
Answer: provide investment and liquidity services to corporate credit unions.
Question: Credit unions have several advantages over banks. These include the following: I. Credit unions are
not taxed. II. Credit unions are better diversified than banks .III. Credit unions can collectively pool funds. IV.
Due to regulations, credit unions have better economies of scale and scope than banks. V. Because of their ties
to employers, credit unions have better personnel expertise than banks
Answer: I and III only
