RBC Assessment: Verbal Reasoning 4 — Questions and Answers
Question 1: Passage: 'RBC's wealth management division grew assets under management by 12% in 2024. Market indices grew by an average of 14% over the same period.' — What is the most accurate interpretation?
- RBC's wealth management underperformed the broader market (Correct answer)
- RBC's wealth management significantly outperformed expectations
- Market growth caused RBC's AUM growth
- RBC clients lost money in 2024
Correct answer: RBC's wealth management underperformed the broader market
RBC grew 12% while the market average grew 14%, meaning RBC's growth lagged the benchmark.
Question 2: Which word is closest in meaning to 'diligent'?
- Careless
- Hardworking (Correct answer)
- Impatient
- Flexible
Correct answer: Hardworking
'Diligent' means showing steady, careful effort — synonymous with hardworking.
Question 3: Complete the analogy: EQUITY is to OWNERSHIP as BOND is to ___
- Profit
- Debt (Correct answer)
- Dividend
- Asset
Correct answer: Debt
Equity represents ownership in a company; a bond represents a debt obligation.
Question 4: Passage: 'A bank can reject a loan application if the applicant's credit score is below 650 or if the debt-to-income ratio exceeds 43%. James has a credit score of 700 and a DTI of 48%.' — Can the bank reject James's application?
- No, because his credit score qualifies him
- Yes, because his DTI exceeds 43% (Correct answer)
- No, because only one condition applies
- Yes, but only with additional documentation
Correct answer: Yes, because his DTI exceeds 43%
The rule uses 'or' — satisfying either condition alone is sufficient grounds for rejection, and James's DTI exceeds 43%.
Question 5: Which word is an antonym of 'volatile'?
- Unstable
- Erratic
- Stable (Correct answer)
- Unpredictable
Correct answer: Stable
'Volatile' means subject to rapid change; 'stable' is its direct antonym.
Question 6: A memo states: 'Some advisors exceeded their quarterly targets. All advisors who exceeded targets received a bonus.' — Which must be true?
- All advisors received a bonus
- No advisor failed to meet targets
- Some advisors received a bonus (Correct answer)
- Bonuses are given regardless of performance
Correct answer: Some advisors received a bonus
Since some advisors exceeded targets and all who did received bonuses, at least some advisors received bonuses.
Question 7: Which sentence uses the word 'liquidate' correctly in a financial context?
- The firm decided to liquidate its debt by borrowing more funds
- The investor chose to liquidate her portfolio and convert assets to cash (Correct answer)
- The bank liquidated a new savings account for the client
- Management liquidated staff by promoting top performers
Correct answer: The investor chose to liquidate her portfolio and convert assets to cash
To liquidate assets means to convert them into cash by selling them.
RBC Assessment: Verbal Reasoning 4
Passage: 'RBC's wealth management division grew assets under management by 12% in 2024.
Market indices grew by an average of 14% over the same period.' — What is the most accurate interpretation?