American Bankers Association American Bankers Association Certifications CRCM Questions & Answers

• Question 461:

  Which of the following actions is acceptable under the financial reporting regulations?

  A. Attaching a narrative explanation by management of the reasons for a cease and desist order as a part of the annual disclosure

  B. Attaching a copy of the bank's last safety and soundness examination to the annual disclosure

  C. Including a statement that indicates that the bank's regulatory agency has reviewed the financial information

  D. Using an unaudited financial statement for the past two years as an annual disclosure statement

  Correct Answer: A

• Question 462:

  A bank may include all of the following in the narrative portion of its financial disclosure except for one. Which of these pieces of information CANNOT be disclosed?

  A. Information relating to mergers and acquisitions

  B. Information related to a regulatory enforcement action that currently applies to the bank

  C. An excerpt from the latest regulatory examination prepared by the bank's regulatory agency

  D. The bank's future plans for product development

  Correct Answer: C

• Question 463:

  Which of the following sources is the least desirable to use when monitoring a correspondent bank's capital?

  A. A national rating agency's report on the correspondent bank

  B. The correspondent bank's own call report

  C. The correspondent bank's annual report to shareholders

  D. A national newspaper's story on the correspondent bank's financial condition

  Correct Answer: D