Mark Ramos
Bus 138
Questions for Analysis:
1. Define future and options contracts and provide an example of settling accounts of two customers that have taken opposing sides in these contracts.
A futures contract is a standardized contract between two parties to buy or sell a specified asset of standardized quantity and quality for a price agreed upon today with delivery and payment occurring at a specified future date, the delivery date. Option contract is a contract that allows the holder to buy or sell an underlying security at a given price, known as the strike price. For example, a trader believes that the price of a stock will rise from its current price of $40 to a level nearing $100. Rather than purchasing the stock
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Comment on the advantages and the shortcomings of each system.
Mr. Leeson’s constant and fast career moves would not be taken well in Japan. In Japan, they are known to stay loyal with the company they work with, no matter how ridiculous and demanding the job, which is also a downside of the Japanese employee. Mr. Leeson’s constant career move allows him to climb up the success ladder faster and gave him more opportunities to try out which job he likes best.
4. What are the purposes of the following rules and how did the deviations from these rules help bring down Barings?
a) Separation of the settlement and general trading functions- Mr. Leeson's position as manager in control of both settlement and floor operations was unusual. In this regard Barings was not following the common practice in the brokerage business. Settlement staff serve as control for a firm's operations, while the trading staff are aggressively pursuing profits.
b) Margin requirements- the purpose of this is to pay for the percentage of marginable securities that an investor must pay. London did not fully understood Mr. Leeson's operations. It was hard to go to one supervisor and get an accurate assessment of the Singapore operations. Mr. Leeson reported to four different individuals: the head of financial products, the regional manager of Barings Asia, an immediate supervisor in Singapore, and one in Tokyo.
c) Deducting errors from year-end bonuses- the purpose of
(The logical structure and sophisticated vocabulary both suggest that it was intended for the elite.)
I started my education in Erie, Pennslyviana.I attend McDowell High. I would say that we were one of the richer schools were I live. I am going to talk about my first assignment Brainology. I thought it was very interesting and it thought me a lot about how some people have different mindsets.
1. How did you plan for the negotiation? Explain how you decided on a strategy?
A contract is an official agreement between two parties. There are different types of contract, such as sale and purchase of a business agreement, partnership agreements, lease of business premises, lease of plant and equipment and employment agreements. The format can vary too. It can be face to face, written, or distance selling. The specifications of a contract involve offer and acceptance, the intention to create legal relations, lawful considerations, capacity and legal formalities such as terms and conditions.
University of Phoenix Material: Elements of a Contract Scenario Read the Elements of a Contract Scenario.
Futures are a contract or legal agreement, where an investor agrees to purchase a certain amount of a physical good or financial asset on a specific date for a set price.
ii) When dealing with customers, Eden Sounds prefer to use a “Standard form contract”. Explain what a ‘standard form contract’ is, and list the advantages to both parties in using them.
Determine the elements of a valid contract, and discuss how consumers and banks each have a duty of good faith and fair dealing in the banking relationship.
Explain why it is important to have an intention to create legal relations when making a contract and why is consideration of the parties to the agreement necessary-:
6. MB4 Profit and Loss Account 2: A worked example of your solutions to your identified problems in P&L1
“We have completed this assignment on our own and have not discussed it with any other individual or used any other unauthorized aids. We acknowledge compliance with the academic requirements (e.g. citation of sources) of the University of Toronto.”
The major argument used to support the insolvent trading provisions is that they are necessary to protect the interests of creditors. As stated, insolvent trading provisions have generally ensured a conservative approach by directors when the company is experiencing financial difficulties. The potential alternative effects of such a decision are:
4. Name two types of negotiated contracts and describe the method of payment and incentive concept.
the level of commission returned to the broker and the firm. He is therefore training his
Introduction: In this assignment I will go over a few legal terms in relation to contract law. I will also talk about a few precedents that help explain the law.