Question
What will suffer due to deception in the account books?
Read the following passage carefully and choose the most appropriate answer to the question out of the four alternatives.  Any kind of accounting chicanery that makes the books look rosy will come at the cost of the accuracy with which banks reflect their financial health. Banks, which are supposed to be good at assessing not just debtors’ credibility but also the broader trends in the economy and the financial markets, cannot feign surprise at a rise and fall in bond yields. As Mr. Acharya has pointed out, banks understand the impact of interest rate movements and the risks of bond investments, and they perhaps choose to ignore this thanks to a “heads I win, tails the regulator dispenses” mindset. Just as banks need to be held accountable for their lending decisions and their advances, treasury operations and bond investments also need accountability and risk management systems.ÂSolution
The correct answer is C
What is the Capital to RiskWeighted Assets Ratio (CRAR) of scheduled commercial banks (SCBs) as of endMarch 2024 according to the Financial Stability Re...
Every year Chennai celebrates Madras Day on ______ to mark the establishment of the city?
Which Indian state is known as the 'Spice Garden of India'?
Who received the 'Nritya Kalanidhi' award at the 17th Dance Festival of the Music Academy in Chennai?
India will be at second position preceded by China in terms of population by the year______ which will grow upto 675 million.
Who is appointed as the CEO of Prasar Bharati?
Which Mughal emperor built the Fatehpur Sikri complex in Uttar Pradesh?
Who has been nominated for the ICC T20 Cricketer of the year award 2022 for India?
Which of the following is the oldest university in the Uttar Pradesh?
What was India's position in terms of countries with the highest number of targeted users in a report highlighting local threats in 2023?
Relevant for Exams:
