In general, why do regulators concern themselves with bank capital?

1) bank capital is a measure of the amount of asset concentration in a bank 2) bank capital is the best measure of the stability of bank earnings 3) bank capital serves as a backstop for the bank since it can be used to absorb losses 4) bank capital is the best measure of a banks cost of funds

Which of the following are reasons that banks fail?

1)	small capital base

2)	lack of concentration of loans

3)	very small bank withdrawals by depositors

4)	all of the above

5)	none of the above