### Question
How is the term net earnings defined?


### Answer
The term **net earnings** is defined in *12 U.S.C. § 1441b* as the following:

> net earnings without reduction for chargeoffs or expenses incurred by a Federal Home Loan Bank for the purchase of capital stock of the Financing Corporation or payments relating to the Funding Corporation required by the Thrift Depositor Protection Oversight Board under subsections (e) and (f) of this section

#### Citation:
  - *12 U.S.C. § 1441b*
  - Heading: **CHAPTER 11-FEDERAL HOME LOAN BANKS**

