The following information is available to an arbitrager working with $1,000,000. Spot rate: S0S/SF = $1.1015 90-day Zurich interest: i90SF = 2% (8% per year) $/SF = $1.1021 90-day Forward rate: Sos/ Is there a covered interest arbitrage profit opportunity? Support your answer.
Answers
So, there is a covered interest arbitrage opportunity, because you would make a profit of $21,768.99.
How to determine arbitragegeSpot rate $/SF = $1.1015
90-day interest rate in Switzerland (SF)
= 2% (annual rate = 8%)
90-day forward rate $/SF = $1.102
Start with $1,000,000.
Convert this into Swiss Francs at the spot rate: $1,000,000 / $1.1015/SF = SF907,821.57
Invest this in Switzerland for 90 days at a 2% interest rate. The investment will grow to:
SF907,821.57 * (1+0.02)
= SF926,978.00
Using a forward contract, agree to convert the Francs back into dollars at the forward rate in 90 days. The value in dollars would be:
SF926,978.00 * $1.1021/SF
= $1,021,768.99
Subtract the original amount to find the profit:
$1,021,768.99 - $1,000,000
= $21,768.99
So, there is a covered interest arbitrage opportunity, because you would make a profit of $21,768.99.
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Related Questions
The estate of monique chablis earned $390 of income this year. is the estate required to file an income tax return?
Answers
No, the estate of monique chablis does not required to file the income tax return.
Given that the income of monique chablis is $390.
We are required to find whether monique chablis is required to file the income tax return or not.
No, the estate of monique chablis is not required to file the income tax return because the income is less than $600.
Income tax is a direct tax paid by income earners to government.
Income tax return is nothing but the annual record of your income.
The person whose income exceeds the limit has to file income tax return and the limit is decided by the government.
Hence it is said that the estate of monique chablis not required to file income tax return.
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Martha has $10,000 saved and wants to attend a college with a current tuition of $10,000 a year. She will graduate from high school in five years. Roughly how much more will Martha need to save for one-year’s tuition to account for an annual rate of inflation of 3%?
$1,590.00
$1,255.00
$300.00
$3,000.00
Answers
Answer:
$1,590.00
Explanation:
Martha has $10,000 saved one. She will join college after 5 years.
Tuition for one year is $10,000. Inflation rate is 3%
The applicable formula is A = P ( 1+ r) ^n
Where A = amount after 5 years
P= principal amount $10,000
r= interest rate 3% of 0.03
n = 5 years
A= $10,000( 1+ 0.03) ^5
A = $10,000 ( 1.03)^5
A= $10,000 x 1.159
A= 11,590.00
Marthe already has $10,000. She will need 11,590.00 - $10,000 more
=$1,590.00
the communists believed that socialism could be achieved by democratic means and turned their backs on violent revolution and dictatorship. true or false
Answers
False. The communists believed that socialism could be achieved by democratic means and turned their backs on violent revolution and dictatorship.
What is Communism?Communism is a political ideology that strives for a society in which everyone is treated equally and has the same access to resources. It is a political and economic philosophy that seeks to establish a classless society through the common ownership of the means of production.Communists believed that socialism could be achieved only by violent revolution and dictatorship.
The term 'dictatorship' here is meant to refer to the period of transition from capitalism to socialism and not the dictatorship in the sense of the modern term. This dictatorship is not meant to suggest that there is a concentration of power in the hands of a single individual, but rather that the working class will take control of society and establish a dictatorship of the proletariat, a political arrangement in which the working class takes over the reins of power and governs society. Hence, the given statement is false. Hence, the given statement is false.
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tristen company purchased a five-story office building on january 1, 2019, at a cost of $4,000,000. the building has a residual value of $200,000 and a 20-year life. the straight-line depreciation method is used. on june 30, 2021, construction of a sixth floor was completed at a cost of $1,190,000. required: calculate the depreciation on the building and building addition for 2021 and 2022 assuming that the addition did not change the life or residual value of the building. (
Answers
Building (cost $4,000,000):
Depreciation for 2021 = ($4,000,000 - $200,000) / 20 = $184,000
Depreciation for 2022 = ($4,000,000 - $200,000) / 20 = $184,000
What is cost?Cost is the amount of money or resources that is sacrificed in order to produce or obtain something. It is typically used to refer to the expenses associated with purchasing, producing, or providing a good or service. Cost is an important factor when it comes to decision making, as it is a key component of the cost-benefit analysis used to determine whether a proposed project or expenditure is worth undertaking. Cost can also refer to the amount of money that is lost due to a mistake or mismanagement.
Building Addition (cost $1,190,000):
Depreciation for 2021 = $1,190,000 / 20 = $59,500
Depreciation for 2022 = $1,190,000 / 20 = $59,500
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a government bond with a coupon rate of 5% makes semiannual coupon payments on january 13 and july 13 of each year. the wall street journal reports the asked price for the bond on january 28 at $1,001.250. what is the invoice price of the bond? the coupon period has 182 days. (round your answer to 2 decimal places.)
Answers
The invoice price of the bond is the price at which the bond is originally issued. In this case, the invoice price of the bond is $1000.00.
To calculate the invoice price, the following formula is used:
Invoice price = (Face value + Coupon payment) / (1 + (Coupon rate / 2))
For this question, the face value of the bond is $1000. The coupon rate is 5%, and the coupon payment is $25. The coupon period has 182 days.
Using the formula above, the invoice price of the bond is:
Invoice price = ($1000 + $25) / (1 + (5% / 2))
Invoice price = $1000.00
Therefore, the invoice price of the bond is $1000.00. This is the original price at which the bond is issued.
When the Wall Street Journal reported the asked price for the bond at $1001.250 on January 28th, it was higher than the invoice price of the bond. This is because the bond was trading at a premium, and thus the asked price was higher than the invoice price.
This difference between the invoice price and the asked price is a result of the coupon period having 182 days. This means that the bond has been in circulation for a longer period of time, and the asked price reflects this by being slightly higher than the invoice price.
In conclusion, the invoice price of the bond is $1000.00. This is the original price at which the bond was issued, and the asked price of $1001.250 on January 28th is a result of the coupon period having 182 days.
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An online footwear company advertises that for every pair of shoes sold, a pair will be donated to someone in need. Employees at the company can multiply those donations by meeting specific sales and customer-service goals. The company is using _______ to influence employee behavior. Feedback clan control management by objectives feedforward control bureaucratic control
Answers
Answer:
please don't trust those links
alex bought a chain of salons and spas. he invested his wealth and time to enhance the salons with full-service bars, child care for employees and guests, and premium furniture. since other salons and spas in the area are not offering these types of amenities, he expects this innovation will result in a profit. alex is a(n)
Answers
Alex is an entrepreneur. He has identified a gap in the market for salons and spas that offer full-service bars, child care, and premium furniture and has taken the initiative to invest his wealth.
It also offers the time to fill that gap by purchasing a chain of salons and spas and enhancing them with these amenities. By doing so, he is positioning himself to be competitive in the market and to potentially generate a profit. Entrepreneurs are individuals who identify opportunities and take the risk to start or invest in a business in order to meet a need or solve a problem. This can involve introducing new products or services, improving existing ones, or finding new ways to reach customers. Alex's actions demonstrate his entrepreneurial mindset and willingness to take risks in order to achieve his business goals.
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measure the diameter of a tin in mm and write down the real diameter in mm
Answers
Based on the context of the question and the image, the required real diameter of the tin is 250 mm.
What is the diameter?Diameter is a term. that is used to describe the measurement of the length of a straight line that passes through the center of a circular object, such as a circle or a sphere.
Generally, diameter is defined as the distance between two points on the object's edge that are furthest from each other and that pass through the center of the object.
Therefore, in this case, given that the diameter of the tin in the picture is 10 cm, then the actual diameter of the tin can be calculated as:
Actual Diameter = 2.5 x Picture Diameter
Actual Diameter = 2.5 x 10 cm
Actual Diameter = 25 cm
Thus, to convert the actual diameter to millimeters (mm), we can multiply by 10 and it is depicted as follows:
Actual Diameter in mm = Actual Diameter x 10
Actual Diameter in mm = 25 cm x 10
Actual Diameter in mm = 250 mm
Therefore, in this case, it is concluded that the correct answer is 250 mm.
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A large city offers many venues for watching a concert. A listing of concert venues for the city includes the following information: the number of seats, the age of the venue, the number of nearby parking spaces, and the location of the venue (inside or outside). What are the individuals in the data set?
concert venues
seats
ages of the venue
parking spaces
Answers
Answer:
A. concert venues
Answer:
A
Explanation:
I need help asap pls
Answers
Based on the Income Statement, December 31, 2012: The foloowing data on income statement was gotten
What was the company's net sales?Net Sales = Sales - Sales returns and allowances = $9,450.00 - $673.41 = $8,776.59
Therefore, the company's net sales were $8,776.59.
What was the company's gross margin?Gross Margin = Net Sales - Cost of Goods sold = $8,776.59 - $4,395.00 = $4,381.59
Therefore, the company's gross margin was $4,381.59.
What was the company's net income after taxes?Net Income after taxes = Net Income before taxes - Federal Income Tax = $1,760.59 - $528.18 = $1,232.41
Therefore, the company's net income after taxes was $1,232.41.
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explain advertisement
Answers
Answer: Advertisement is a marketing communication. It is used to promote businesses and their products. Used to promote more effectiveness in a businesses profit and their sales. May be seen in the form of commercials or billboard announcements in everyday life.
Jones corporation reported current assets of $193,000 and current liabilities of $137,000 on its most recent balance sheet. the working capital is:________
Answers
The working capital of Jones Corporation, with current assets of $193,000 and current liabilities of $137,000 on its most recent balance sheet, is $56,000.
What is the working capital?The working capital is the difference between current assets and current liabilities.
The working capital represents the funds available for meeting short-term obligations.
Some of the items used for calculating the working capital include:
Cash and Cash EquivalentsAccounts ReceivableInventoryAccounts Payable.Data and Calculations.Current assets = $193,000
Current liabilities = $137,000
Working capital = $56,000 ($193,000 - $137,000)
Thus, Jones' working capital is $56,000.
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You have bought a car at a used car dealer for $12000, including tax and insurance. You were to pay for the car by making 19 equal monthly payments, with the first payment to be made when the car was delivered (a down payment). Interest on the loan was charged at the rate of 12% per year, compounded monthly. (a) How much is your monthly payment? (b) After eleven payments (the down payment and ten other payments) were made, Nabil agreed to buy the car from you. Nabil will pay a cash amount to cover the loan in full, at the time the next payment was due. If there is no penalty, what amount will Nabil pay?
Answers
a) The monthly payment for the car loan is approximately $71.08.
b) Nabil will pay approximately $4,544.69 to cover the remaining loan balance.
To calculate the monthly payment for the car loan, we can use the formula for the monthly payment on a loan with regular payments.
Monthly Payment = P × r × (1 + r)ⁿ / ((1 + r)⁽ⁿ⁻¹⁾
Where:
P is the principal amount (the purchase price of the car)
r is the monthly interest rate (annual interest rate divided by 12)
n is the total number of payments
(a) Monthly Payment Calculation:
P = $12,000
Annual Interest Rate = 12%
Monthly Interest Rate = 12% / 12
= 1%
n = 19 (total number of payments)
Substituting these values into the formula, we get:
Monthly Payment = $12,000 × (0.01) × (1 + 0.01)¹⁹ / ((1 + 0.01)⁽¹⁹⁻¹⁾
≈ $12,000 × 0.01 × 1.214416 / 0.214416
≈ $71.08
Therefore, the monthly payment for the car loan is approximately $71.08.
(b) To calculate the amount Nabil will pay to cover the loan after eleven payments, we need to determine the remaining loan balance. We can use the loan balance formula:
Loan Balance = P × ((1 + r)ⁿ - \((1 + r)^m{}\)) / ((1 + r)ⁿ⁻¹)
Where:
P is the principal amount (original loan amount)
r is the monthly interest rate
n is the total number of payments
m is the number of payments already made
For this scenario, m = 11 (eleven payments made), and
n = 19 (total number of payments).
Substituting the values into the formula:
Loan Balance = $12,000 × ((1 + 0.01)¹⁹ - (1 + 0.01)¹¹) / ((1 + 0.01)¹⁹⁻¹)
≈ $12,000 × (1.214416 - 1.133394) / 0.214416
≈ $12,000 × 0.081022 / 0.214416
≈ $4,544.69
Therefore, Nabil will pay approximately $4,544.69 to cover the remaining loan balance.
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Exercise 2-20A Record transactions, post to T-accounts, and prepare a trial balance (LO−4,2−5,2−6) [The following information applies to the questions displayed below.] Boilermaker House Painting Company incurs the following transactions for September.
1. September 3 paint houses in the current month for $20,000 on account.
2. Septenber 8 Purchaso painting equipment for $21,000 eash. 3. September 12 purchase office supplies on account for $3,500
. 4. September 15 pay employee salaries of $4,200 for the current month.
5. September 19 Purchase advertining to appear in the current month for $1,000 cash. 6. September 22 Pay oftice rent of $5,400 for the eurrent month. 7. September 26 heceive $15,000 from custocers in (1) above. 8. Septenber 30 Receive cash of $6,000 in advance fron a cuatomer who plans to have his hause painted in the following month. Exercise 2-20A Part 1 Required: 1. Record each transaction. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first. account field.
Answers
Here are the journal entries for each transaction: 1. September 3:
Accounts Receivable 20,000
Sales Revenue 20,000
2. September 8:
Painting Equipment 21,000
Cash 21,000
3. September 12:
Office Supplies Expense 3,500
Accounts Payable 3,500
4. September 15:
Salaries Expense 4,200
Cash 4,200
5. September 19:
Advertising Expense 1,000
Cash 1,000
6. September 22:
Rent Expense 5,400
Cash 5,400
7. September 26:
Cash 15,000
Accounts Receivable 15,000
8. September 30:
Cash 6,000
Unearned Revenue 6,000
Please note that the above journal entries assume that the revenue recognition principle is followed, and the revenue is recognized when the service is provided.
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ELO Corporation purchased a patent for $135,000 on September 1, 2019. It had a useful life of 10 years. On January 1, 2021, ELO spent $33,000 to successfully defend the patent in a lawsuit. ELO feels that as of that date, the remaining useful life is 5 years. What amount should be reported for patent amortization expense for 2021
Answers
Answer: $30,000
Explanation:
Amortization from September 1, 2019 - January 1, 2021 :
September 1, - december 31 = 4/12 = 0.333333
(1 + 0.333333) × (135000 × 10) = $18,000
Value left before patent defense :
$(135,000 - 18,000) = $117,000
Amount reported for patent amortization expense 2021:
$(117,000 + 33,000) ÷ 5
$150,000 ÷ 5 = $30,000
Write three sentences.What is summer mainly about and what is your fav thing about summer time?
Answers
A hotel is part of what industry?
A.
Service
B.
Wholesaling
C.
Subcontracting
D.
Cottage
Please select the best answer from the choices provided
A
B
C
D
Answers
Answer: A. Service
Please mark as brainlist
Service i did this
what causes high insurance charges in international trade
Answers
Answer: Factors that cause high insurance charges in international trade are:
1. Distance and Transportation
2. Risk of Damage or Loss
3. Political and Economic instability
4. Customs and Regulatory issues
5. Currency Fluctuations
Explanation:
There are several factors that can contribute to high insurance charges in international trade:
1. Distance and transportation: International trade involves shipping goods over long distances, which increases the risk of loss or damage during transit. As a result, insurance premiums can be higher for international shipments than for domestic shipments.
2. Risk of damage or loss: The risk of damage or loss during transit can be higher for certain types of goods, such as fragile or high-value items. Insurance premiums can reflect this increased risk.
3. Political and economic instability: Political and economic instability in certain regions can increase the risk of damage or loss to goods during transit. Insurance companies may charge higher premiums for shipments to these regions.
4. Customs and regulatory issues: Customs and regulatory issues can cause delays and increase the risk of loss or damage to goods during transit. Insurance companies may charge higher premiums for shipments that are subject to these issues.
5. Currency fluctuations: Currency fluctuations can affect the value of goods during transit and increase the risk of loss or damage. Insurance companies may adjust premiums to reflect this increased risk.
Overall, insurance charges in international trade reflect the increased risk and complexity involved in shipping goods across borders and over long distances.
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if anyone sees this can they help me out? how should a consumer seek remedy once they have experienced unfair financial practices A trust in the other party to accurately adjust any errors made on their behalf B Contact the other party one time only as opposed to multiple communications C Contact local media organization to reveal any wrongs committed by the other party D Take steps to properly file a dispute and engage an advocate to handle their case How are consumers responsible for their own security A They should create simple passwords using birthday and names instead of something more complicated B They should always use open public networks because they are more secure than private networks C They must join an identity protection service to protect themselves from identity theft D They should use and regularly update an antivirus program to protect their personal information Which statement correctly describes an internet security issues A Phishing is an illicit software program which unwittingly sends private account information from a user's computer B Spyware are individuals who attempt to get access to another person's computer to harm it somehow C A virus is a harmful program that gets loaded onto a user's computer after visiting an infected website D Hackers are attempts to deceive people into revealing personal information with fraudulent emails and social media requests
Answers
Answer:
B
Explanation:
your welcome
.A company can improve its return on equity (ROE) by changing its capital structure.
True/False?
Answers
True. A company's return on equity (ROE) can be improved by changing its capital structure. ROE is a financial metric that measures a company's profitability by showing how much profit it generates with the shareholders' equity. A higher ROE indicates that a company is effectively using its shareholders' equity to generate profits. Changing the capital structure can have a significant impact on a company's ROE. For instance, if a company raises more debt and uses it to repurchase shares, its ROE will increase. This is because debt is cheaper than equity, and repurchasing shares reduces the equity base, which in turn increases the ROE. However, changing the capital structure can also increase the financial risk of a company, which could have negative consequences if the company experiences financial difficulties.
.A company can improve its return on equity (ROE) by changing its capital structure. True.
Return on equity (ROE) is a measure of a company's profitability that reflects how much profit it generates with the shareholder's equity invested in the business. By changing its capital structure, a company can alter the amount of debt and equity financing it uses to fund its operations. The use of debt financing, in particular, can boost ROE by reducing the amount of equity required to fund the company's operations.
This is because debt financing is typically cheaper than equity financing, and so a higher proportion of debt in the capital structure can lead to lower overall financing costs, which can increase profitability and, in turn, ROE. However, increasing leverage also increases financial risk, so companies must carefully balance the benefits of leverage with the risks of potential financial distress.
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For over 40 years, Golden Creamery has been mixing up fresh, gourmet ice cream for customers. The company originated in Dallas and now boasts stores in 35 states. The business has primarily expanded by selling franchises to qualified candidates. Golden Creamery executives realize that the firm's success depends upon the success of each franchise. In the past, each individual franchise owner determined the best method for screening applicants. However, as the firm grows, Golden Creamery executives want to standardize the hiring process by requiring all franchisees to use the same preemployment tests, Which of the following, if TRUE, supports the argument that Golden Creamery should require franchise owners to use the firm's preemployment tests?
A. Hourly employees at Golden Creamery stores typically remain with the company long enough to be promoted to management positions.
B. Golden Creamery uses a series of videos to train new hires as well as a mentoring program that has proven successful in the past.
C. Individuals interested in working at a Golden Creamery store can complete online applications on the firm's website
D. Annual turnover rates for hourly employees of Golden Creamery stores are three times the rate of comparable businesses.
Answers
Answer: D
Explanation: High turnover rates suggest that Golden Creamery has problems hiring the most appropriate employees, which supports the implementation of a testing program. If hourly workers remained at the firm for a long time, then that would suggest the firm's current hiring practices do not need to be modified.
QUESTION 8 of 10: You buy a lathe for $20,000. Its useful life is 10 years. Each week, over 10 years, you recognize an equal portion of its cost. This is called depreciation. What is your weekly depreciation for the lathe?
Answers
Answer:
the weekly depreciation is $38.46
Explanation:
The computation of the weekly depreciation is shown below;
Given that
The Purchase value of the lathe is $20,000
Useful life is 10 years
So, the annual depreciation is
= $20,000 ÷ 10 years
= $2,000 per year
Now the weekly depreciation is
= $2,000 ÷ 52 weeks
= $38.46
Hence, the weekly depreciation is $38.46
Supper Company Ltd., reported the following stockholders’ equity on its balance sheet at June 30,
2012:
Supper Company Ltd.
Stockholders’ Equity
June 30,2012
Paid-in Capital
Preferred stock, 10%,? par, 650,000 shares authorized, 280,000 shares issued $ 1,400,000
Common stock, par value $? per share, 5,000,000 shares authorized,
1,000,000 shares issued and outstanding
2,000,000
Paid-in capital in excess of par—common 6,000,000
Total paid-in capital 9,400,000
Retained earnings 12,300,000
Total Stockholders’ equity $21,700,000
Requirements:
1. What is the par value per share of Supper’s preferred stock? (Show Workings)
2. What is the par value per share of Supper’s common stock? (Show Workings)
3. What is the selling per share for the $6,000,000 reported as paid-in capital in excess of par –
common? (Show Workings)
4. Prepare two (2) summary journal entries to record issuance of all the Supper Company Ltd stock for
cash. Explanations are not required.
Answers
Answer:
1. Par Value of Preferred stock;
= Preferred stock value / Shares issued
= 1,400,000/280,000
= $5
2. Par Value of Common Stock
= Common stock value / Shares issued
= 2,000,002/1,000,000
= $2
3. Selling price per share including Paid-In Cap
Paid-in cap is the price of a share that exceeds its par value. Selling price therefore is;
= (Par Value + Paid In cap)/ Number of shares
= (2,000,000 + 6,000,000) / 1,000,000
= $8 per share
4.
DR Cash $1,400,000
CR Preferred Stock $1,400,000
DR Cash $8,000,000
CR Common Stock $2,000,000
Paid-In Capital in excess of par - Common Stock $6,000,000
100 points LOLOL WHOEVER COMES HERE FIRST WILL ALSO BE MARKED BRAINLIEST
Answers
Answer:
sdadasd
Explanation:
Answer:
hi hi i hope you have a great day and take care of yourself
Please help?? WILL MARK IF THERE ARE MULTIPLE ANSWERS!!!!!
Answers
How is a debit card different from a credit card?
A. A debit card is usually issued by a financial institution.
B. A debit card provides a way for people to make large purchases.
C. Spending on a debit card is limited to the funds available in an
account.
D. Spending can occur via a digital payment method.
Answers
Answer:
C
Explanation:
because thats wat ist is.- limited funds
true or false? in general, improvements in technology used in production will result in an increase in supply.
Answers
True. In general, improvements in technology used in production will result in an increase in supply.
When there is technological improvement, the efficiency of a company is increased. The production of the company is increased in less time, less resources and less manpower. This means that the company can produce more products and supply more goods and services to the market. Therefore, there is an increase in supply.The production process is streamlined when the technology used is improved.
Improved technology lowers the production cost and leads to an increase in supply. This in turn leads to an increase in profits for the company. In general, technological improvements are good for production and increases supply of goods and services to the market.Therefore, the statement is true. Improvements in technology used in production will result in an increase in supply.
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Risk Management
Answer the following two questions:
Explain in your own words what risks are. What are the major risks encountered by financial institutions?
What do you consider the greatest risk faced by a financial institution today? Explain why and provide two recent (2017 to 2022) examples of the risk in support of your position. Make sure to include a citation of your sources.
Answers
1) Risks are uncertainties or potential events that can have negative impacts on an organization's objectives. They represent the possibility of loss, harm, or failure to achieve desired outcomes. Risks are inherent in any business activity and can arise from various sources such as operational, financial, strategic, legal, or external factors.
Financial institutions face a range of risks due to their nature of operations and exposure to complex financial markets. Some major risks encountered by financial institutions include:
a) Credit Risk: This is the risk of loss arising from a borrower's inability to repay debt or meet financial obligations. It is a significant risk for banks and other lending institutions that provide credit to individuals and businesses.
b) Market Risk: Market risk refers to the potential losses arising from changes in market prices or market conditions. It includes risks related to interest rates, exchange rates, equity prices, and commodity prices. Financial institutions with trading and investment activities are exposed to market risk.
c) Liquidity Risk: Liquidity risk arises from the inability of a financial institution to meet its short-term obligations or fund its operations. It occurs when there is a mismatch between the institution's assets and liabilities, and it can lead to a loss of confidence and a liquidity crisis.
d) Operational Risk: Operational risk is the risk of loss resulting from inadequate or failed internal processes, systems, or human error. It includes risks related to technology failures, fraud, legal and compliance issues, and business disruptions.
2) The greatest risk faced by financial institutions today is systemic risk. Systemic risk refers to the risk of widespread disruptions or failures in the financial system that can have severe consequences for the overall economy. It is characterized by the interdependencies among financial institutions and markets, where the failure of one institution or a shock to the system can quickly spread and have a cascading effect.
Two recent examples of systemic risk are:
a) Global Financial Crisis (2007-2008): The collapse of Lehman Brothers in 2008 triggered a global financial crisis that had far-reaching impacts on financial institutions and markets worldwide. The interconnectedness and excessive risk-taking in the banking and mortgage markets led to a systemic breakdown, resulting in severe economic downturns and liquidity problems.
b) COVID-19 Pandemic (2020): The outbreak of the COVID-19 pandemic and the subsequent lockdown measures had significant implications for financial institutions. The sharp decline in economic activity, market volatility, and disruptions in the global supply chain created uncertainties and stressed financial systems. Central banks and governments had to implement unprecedented measures to stabilize markets and support the financial sector.
Sources:
- "Financial Risk Management: A Practitioner's Guide to Managing Market and Credit Risk" by Steve L. Allen
- "Systemic Risk: The Dynamics of Modern Financial Systems" by Prasanna Gai
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Your pay rate is $18 per hour and you have worked 50 hours for the first week of the pay period and 50 hours for the second week of the pay period. Reminder: Your regular work hours is 40 hours for the week and you get paid bi-weekly and time and a half is paid for overtime hours. Calculate your gross pay.
Answers
Answer:
$1,260
Explanation:
$18 is the rate of pay for 40 hrs/week
$27 is the rate of pay for the extra 10 hrs/week (18 + 9)
A total of 100 hours for the pay period, 80 of those are 18/hr, 20 are 27/hr
40(18) + 20(27) = 720 + 540 = 1260
Please let me know if you have any questions.
Because costs an benefits are both subjective, a person’s decision will always be based on what
Answers
personal bias
a person's life and experience will always determine there decisions bceause subjective benefits and costs are subjective due to there own
Answer:
Explanation:
Because costs and benefits are both subjective, a calculation of the value of a decision is always based on personal opinion. Answer: Value of information (VOI or VoI) is the amount a decision maker would be willing to pay for information prior to making a decision.