In pass through certificate payments comes through O a. Underlying loans O b. Underlying securities O c. Underlying collaterals O d. Assets held
Q: What is NOT considered as a disadvantage of investing in corporate bonds? can be defaulted on…
A: The corporate bonds are issued to raise fund. Such bonds are considered fixed income securities.
Q: Ceteris paribus, the primary advantage of investing in mutual funds over individual stocks or bonds…
A: Mutual funds are pool of money created by voluntary contribution by people, this money is often…
Q: 11. Which of the following statements is TRUE? (A) ETFS consist of funds that invest only in stocks.…
A: An Exchange Traded Fund is a fund associated with the price, It allows investors to easily sell or…
Q: Donna and Ed are shareholders of Friendly Credit Incorporated, As shareholders, they must approve
A: Solution: Option D is correct All of the other answer
Q: d. Evaluate the partial derivatives at P. Revenuegc(1000, 500) Revenueow(1000, 500)
A:
Q: Ms. Huma is expecting a rise in the share price of Bank Muscat. But, currently she does not have the…
A: Since it is given in the question that Ms. Huma is expecting a rise in the share price of bank…
Q: How important is CFO in a rural bank? What he can do that others cannot?
A: As a top executive, the chief financial officer is in charge of a company's financial operations.…
Q: Refers to the ease at which an asset can be converted.into cash O Liquidity O Store of Value O…
A: Money is an essential object to every economy. It serves various functions in an economy. The most…
Q: Suppose X Corp. issued one-year discount bonds with a face value of $5,000 and the bonds were sold…
A: Given : Issued bonds =$5000 Sold Bonds=$4800
Q: Economics please let me know the right answer Risk is highest when: A B C D gearing ratio is lower…
A: Gearing Ratio:- A series of financial measurements known as gearing ratios assesses the firm's level…
Q: “The more collateral there is backing a loan, the lessthe lender has to worry about adverse…
A: The situation of asymmetric information is an economics theory of contract which is intricate in…
Q: Explain the term “riding the yield curve” in the process of investing of surplus cash. (Note: yield…
A: An financial technique in which one purchases a long-term bond and then sells it before it matures.…
Q: Calculate the new money supply. (Enter response here.) Calculate the money multiplier.
A: The table given above shows money creation by commercial banks . Through the process of money…
Q: Most financial assets function as Select one: O a. a store of value and a unit of account but not a…
A: A financial asset is a liquid asset that is valued based on a contractual right or ownership claim.…
Q: 47) The demand curve for bonds has the usual downward slope, indicating that at prices of the bond,…
A: In the bonds market, it can be seen that the demand curve of bonds is usually downward sloping…
Q: List and describe thefactors that affect theequilibrium interestrate in the bondmarket
A: Answer - The following factors affect the equilibrium interest rate in the bond market - 1. Supply…
Q: Explain the main two types that the company could prefer to use them as a source of finance
A: Sources of finance refers to the fields which can offer funds to a business to operate in an…
Q: Stealth bank has deposits of $300 million. It holds reserves of $20 million and has purchased…
A: bank net worth is calculated by the following formula:- Net Worth = Total Assets – Total…
Q: se: All assets are protected in debt reorganization. False
A: There are two types of debts - 1) secured debt - money lended against some security or asset. In…
Q: They act as mediators between two parties: those who supply funds and those who seek them. * A.…
A: Companies that deal in financial and monetary transactions are classified as financial institutions.…
Q: How can we o determine the extent to which borrowed funds havebeen used to finance assets?
A: Borrowed funds are those funds which business borrows either to finance their assets or to use as…
Q: The First National Bank is offering a 3 year certificate of deposit (CD) at 4% interest compounded…
A: Given Information: Bank 1 rate of interst=4% compounded quarterly time= 3 years Principal= $7,000…
Q: ow the E-banking services help the rural bank in having low Return on Equity and Return on Assets…
A: Banks are always looking for ways to increase their profits. Rural banking services are clearly more…
Q: Explain briefly what is it: Repurchase Agreements (REPO) Open Market Operations (OMO)
A: Financial instruments: These are monetary contracts between two parties.
Q: Required: 1. If a farmer chose Technique A, what would happen? a. Possibility of a lower yield and…
A: Hi! Thank you for the question. As per the honor code, We’ll answer the first question since the…
Q: What function of money is highlighted when someone deposits a portion of his or her paycheck into an…
A: Money means the medium of exchange.
Q: What is the current price of a $1,000 discount bond that matures in 5 years if the yield to maturity…
A: As it is given in the question that Time n=5 YTMR = 5% current price =$1,000
Q: What type of open market operation is expansionary? (Is it a purchase or sale of bonds?)
A: Open market operations refer to purchase and sale of bonds
Q: en it is said that commercial banks are financial intermediaries, what is meant by this? What is…
A: A financial arbitrator is a business that acts as an intermediary between two parties in a financial…
Q: 6. Which of the ollowing s a liability on a bank's balance sheet? a. a certificate of deposit b.…
A: Bank assets allude to the things possessed by a bank that assistance to bring esteem. Bank assets…
Q: A successful entrepreneur may need a support of banking institutions and Non- banking financial…
A: (Q) A successful entrepreneur may need the support of banking institutions and Non- banking…
Q: Carly wants to buy and operate an ice-cream truckbut doesn’t have the financial resources to start…
A: Stocks and bonds are the financial market instruments used by people in the economy, which is used…
Q: Most financial assets function as Select one: O a. a medium of exchange and a store of value but not…
A: Answer: Financial assets are used as a store of value. It is not used as a unit of account. No one…
Q: Suppose initially that two assets, A and B, will each make a single guaranteed payment of $400 in 1…
A: Return on InvestmentThe rate of return on an investment is a measurement of the amount of profit…
Q: What factors influence your decision of where to put your money? a. What financial institutions…
A: The Investment environmental elements that impact an investor's decision may be divided into many…
Q: 17. You own 1,260 shares in Corporation X that are worth $40 per share. Your cousin o ers to trade…
A: The value of my holdings are:Number of shares*vaue of per share=1,260*40=$50,400The value of cousin…
Q: You are the manager of the Mighty Fine mutual fund. The following table reflects the activity of the…
A: Calculation of dollar-weighted average return: Dollar-weighted average return considers the return…
Q: highlight the role played by investment banks in mergers and acquisitions and explain the advantages…
A: The meaning of Mergers: The term merger means that when the two or more firms are combined with each…
Q: 49) Everything else held constant, an increase in the riskiness of bonds relative to alternative…
A: Equilibrium in the bonds market occurs at the intersection of demand and supply curves of bonds.
Q: 3) What financial institutions are doing a good job at convincing younger generations to place their…
A: There are many risks in today's time that can be seen, and one of the most risks associated with the…
Q: Examine the balance sheet of commercial banks in the tolowing tabie. Aseta ion al Liaie andSetorth…
A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…
Q: "Alternative forms of Financial Inflow". Present the topic objectively
A: The "capital flows" of an investment, trade, or company transaction are the transfers of funds.…
In pass through certificate payments comes through
O a. Underlying loans
O b. Underlying securities
O c. Underlying collaterals
O d. Assets held
Step by step
Solved in 2 steps
- What are some ways that someone looking for a loan might reassure a bank that is faced with imperfect information about whether the borrower will repay the loan?Many retirement funds charge an administrative fee each year equal to 0.25% on managed assets. Suppose that Alexx and Spenser each invest 5,000 in the same stock this year. Alexx invests directly and earns 5 a year. Spenser uses a retirement fund and earns 4.75. After 30 years, how much more will Alexx have than Spenser?How much money do you have to put into a bank account that pays 10% interest compounded annually to have 10,000 in ten years?
- If you owned a small firm that had become somewhat established, but you needed a surge of financial capital to cant out a major expansion, would you prefer to raise the funds through borrowing or by issuing stock? Explain your choice.If a perpetuity bond has an interest payment of $60 and your required yield is 20%, the MOST you would be willing to pay for the bond is $: a. 300. b. 600. c. 120. d. 6,000. QUESTION 78 Which of these statements about cryptocurrency is the MOST accurate? a. Its role as a medium of exchange is very high. b. The U.S. government serves as a guarantor whenever a cryptocurrency is hacked. c. It does not serve as either a unit of account or as a store of value. d. The supply of cryptocurrency is not managed by any government agency in any country.Because financial intermediaries operate on a big scale, this relates to minimizing the costs of transactions incurred by them. *a. Economies of Scopeb. Economies of Scalec. Economic Convenienced. Economies of Costse. None of the choices.
- explain the depth in the global bond markets, mention atleast 3 varieties of bonds from various countries and latest issuance's thereunder.Calculate the annual interest (in $) and current yield (as a %) of the bond. (Round your percentage to one decimal place.) Company Coupon Rate Annual Interest Market Price Current Yield Company 5 7.25% $ 107.00 %How can we o determine the extent to which borrowed funds havebeen used to finance assets?
- What factors influence your decision of where to put your money? a. What financial institutions are doing a good job at convincing younger generations to place their money/trust in them? Why is their approach/messaging effective?12. Brock Lee decided to sell his stock due to the recent market turbulence and instead put the entire amount of $100,000 into a savings account that promises to pay him annual compound interest of 4%. a. How much money will Mr. Lee accrue if he leaves it all in the bank for 1, 8, or 20 years? b.If Mr. Lee finds a different bank that promises to pay him 4% per year but compounds quarterly, rework part (a) using this new information.Allen would like to open a business to produce a software that he thinks would be well-received by the market. However, the investment needed to start a busi- ness is very high and Allen could barely cover it on his own. The software is very likely to be successful and generate profits, but it takes 2 years before profits are generated. Explain why the existence of a financial intermediary, like a bank, makes Allen’s investment more likely.
