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FDIC TE Prep with Complete Solutions

Study Material Feb 3, 2025
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FDIC TE Prep with Complete Solutions
Question : What is included in tier 2 capital? a) ALLL up to
1.25% of risk-weighted assets b) qualifying preferred stock c)
Subordinated debt d) Qualifying tier 2 minority interest, less
any deductions in the tier 2 instrument of an unconsolidated
financial institution.
CORRECT ANSWER: ALLL up to 1.25% of risk-weighted
assets
qualifying preferred stock
Subordinated debt
Qualifying tier 2 minority interest, less any deductions in the
tier 2 instrument of an unconsolidated financial institution.
Question : What is the purpose of the FDIC conducting bank
examinations?
CORRECT ANSWER: To ensure public confidence in the
banking system and to protect the DIF
Question : What should examiners do before discussing
proposed ratings of a 3 or worse rated bank?

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