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When Discussing Financial Institutions,what Is a Shrinking Capital Base

Question 84

Multiple Choice

When discussing financial institutions,what is a shrinking capital base?


A) When an institution's credit rating is downgraded
B) When the institution gives out a lot of large loans
C) When the institution experiences a large influx of new equity
D) When the amount of debt in relation to equity increases
E) When the institution loses a large quantity of its customers in a short amount of time

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