Statement regarding profitability ratios

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1. Which of the following is NOT an example of noninterest expense?

A. interest paid on noncore liabilities

B. overhead costs

C. personnel costs

D. None of these are examples of noninterest expense

E All of these are examples of noninterest expense

2. Which of the following is NOT a true statement regarding profitability ratios?

A. Profitability ratios differ when banks have different asset and liability compositions.

B. Small banks typically report higher net interest margins than large banks

C. Large banks typically have higher ROEs

D. Large banks typically have lower efficiency ratios

E. All of the above are true statements

Reference no: EM131965825

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