©THESTAR 2024/2025 ALL RIGHTS RESERVED 12:43 PM.
FDIC TE Set 100 Exam Questions With
Correct Answers 100% Verified.
Capital - Equity Exposures SRWA 300% - Answer✔Publicly traded equity exposure (other than a
600% and including ineffective portion of a hedge pair)
Capital - Equity Exposures SRWA 400% - Answer✔Equity exposure not publicly traded (other
than 600%)
Capital - Equity Exposures SRWA 600% - Answer✔An equity exposure to an investment firm
that has greater than immaterial leverage (ie. hedge fund)
Asset Quality - Bankruptcy Basics Chapter 7 - Answer✔Liquidation:
Assets Liquidate
Proceeds distributed
Debts discharged
Asset Quality - Bankruptcy Basics Chapter 11 - Answer✔Reorganization
Borrower keeps assets
Debts restructured
All creditors vote on restructuring plan
Majority vote binds minority
Asset Quality - Bankruptcy Basics Chapter 13 - Answer✔Reorganization - individuals
individuals <100M unsecured and $350M secured
Only secured creditors entitled to vote
1
, ©THESTAR 2024/2025 ALL RIGHTS RESERVED 12:43 PM.
Asset Quality - RE appraisals 3 basic valuation approaches - Answer✔Cost Approach -Estimate
of reproduction cost of building/improvements less depreciation plus land value
Market data/Direct Sales Comparison - Estimate based on sales price of comparable
Income Approach - Discounted value of future net operating income stream, including any
"reversion" value of property when sold
Asset Quality - RE Appraisal Exemptions Part 323 - Answer✔<250M
<1MM business loan and not dependent on sale/ income of collateral
Existing credit if: no new monies advanced (except closing costs); no monies ok if no material
change to RE mkt
CRE < $500M
Abundance of Caution
Lease (unless economic equivalent of purchase)
Lien for purpose other than real estate value
Pooled (MBS) if loans met standard at origination
Gty'd by US Gov't or GSEs (GSEs have their own appraisal requirments)
Qualifies for Gov't program or sale to Gov't
2
FDIC TE Set 100 Exam Questions With
Correct Answers 100% Verified.
Capital - Equity Exposures SRWA 300% - Answer✔Publicly traded equity exposure (other than a
600% and including ineffective portion of a hedge pair)
Capital - Equity Exposures SRWA 400% - Answer✔Equity exposure not publicly traded (other
than 600%)
Capital - Equity Exposures SRWA 600% - Answer✔An equity exposure to an investment firm
that has greater than immaterial leverage (ie. hedge fund)
Asset Quality - Bankruptcy Basics Chapter 7 - Answer✔Liquidation:
Assets Liquidate
Proceeds distributed
Debts discharged
Asset Quality - Bankruptcy Basics Chapter 11 - Answer✔Reorganization
Borrower keeps assets
Debts restructured
All creditors vote on restructuring plan
Majority vote binds minority
Asset Quality - Bankruptcy Basics Chapter 13 - Answer✔Reorganization - individuals
individuals <100M unsecured and $350M secured
Only secured creditors entitled to vote
1
, ©THESTAR 2024/2025 ALL RIGHTS RESERVED 12:43 PM.
Asset Quality - RE appraisals 3 basic valuation approaches - Answer✔Cost Approach -Estimate
of reproduction cost of building/improvements less depreciation plus land value
Market data/Direct Sales Comparison - Estimate based on sales price of comparable
Income Approach - Discounted value of future net operating income stream, including any
"reversion" value of property when sold
Asset Quality - RE Appraisal Exemptions Part 323 - Answer✔<250M
<1MM business loan and not dependent on sale/ income of collateral
Existing credit if: no new monies advanced (except closing costs); no monies ok if no material
change to RE mkt
CRE < $500M
Abundance of Caution
Lease (unless economic equivalent of purchase)
Lien for purpose other than real estate value
Pooled (MBS) if loans met standard at origination
Gty'd by US Gov't or GSEs (GSEs have their own appraisal requirments)
Qualifies for Gov't program or sale to Gov't
2
