Please answer the following multiple choice questions.

Question 25.25. A major factor that helps to reduce transactions costs in financial markets is: (Points : 3)

a.adverse selection b.economies of scale c.audits d.pecking-order operations

Question 26.26. Which of the following regulatory authorities supervises the largest number of commercial banks? (Points : 3)

a.The Federal Reserve b.The Federal Deposit Insurance Corporation c.State banking commissions d.The Comptroller of the Currency

Question 27.27. The piece of legislation that effectively completed the repeal of Glass-Steagall was: (Points : 3)

a.The Depository Institutions Deregulation and Monetary Control Act b.Garn-St. Germain c.Gramm-Leach-Bliley d.The Securities and Exchange Commission Act e.None of the above-the key provisions of Glass-Steagall are still in effect

Question 28.28. Which of the following was not a provision of the FDIC Improvement Act? (Points : 3)

a.It raised the amount of insurance coverage from $40,000 per account to $100,000 b.It attempted to curtail use of the "Too big to fail" policy by the FDIC c.It mandated that the FDIC design and implement a system of risk-based deposit insurance premiums d.It established new a capital adequacy classification system for banks e. All the above-since it did none of the things listed above