Which of the following is true regarding extensions of credit to executive officers, directors, and principal shareholders?

Must be approved in advance by the board of directors if the aggregate credit is more than the greater of either $25,000 or 5 percent of the bank's capital and surplus, not exceeding $500,000
Must be approved in advance by the board of directors if the credit is greater than $50,000 or 5 percent of the bank's capital and surplus
May not exceed $100,000 in the aggregate, regardless of approvals
May not exceed $250,000 in the aggregate, regardless of approvals

Answer(s): A

Which of the following is true regarding extensions of credit to executive officers, directors, and principal shareholders?

Must be approved in advance by the board of directors if the aggregate credit is more than the greater of either $25,000 or 5 percent of the bank's capital and surplus, not exceeding $500,000
Must be approved in advance by the board of directors if the credit is greater than $50,000 or 5 percent of the bank's capital and surplus
May not exceed $100,000 in the aggregate, regardless of approvals
May not exceed $250,000 in the aggregate, regardless of approvals

Answer(s): A