. Securitization of loan portfolios, such as credit card loans and mortgage loans, will occur if a. the financial market will pay more for the loan portfolio than the issued asset-backed securities. b. the financial market will pay more for the issued asset-backed securities than the loan portfolio. c. a financial guarantee is obtained from a commercial bank. d. the borrowers permit their loan to be securitized. e. both a and d

Answers

Answer 1

Answer:

the financial market will pay more for the issued asset-backed securities than the loan portfolio.

Explanation:

Securitization

This is simply known as putting together of loan with others loans that of the same grade or similar characteristics thereby bringing about (creating) credit powered claims against the cash flows of the said portfolio, and thereafter selling the said claims to investors.

It is often regarded as the means by which some specific assets are pooled for repackaging into interest bearing securities. It is said to have started in the in 1970's, where home mortgages were to be pooled by government.

Benefits of Securitization

1. It is easier to raise cash than regular debt instruments

2. There is the transfer of credit risk of assets the firm is originating

3. To makes bundles look very good when they are ranked.


Related Questions

A product's target market is part of which of the 4 P's of marketing?​

Answers

Answer:

Place

Explanation:

The marketing mix is defined as a set of the marketing tools which the organizations use them to obtain their marketing objectives in their target markets.

In other words, it is the foundation model for the businesses. It defines the key management decisions that are needed to achieve success in the marketing world.

The four P's in marketing are :

price , product , place  and promotion.

A product's target market is a part of 'place' of the 4 P's of the marketing strategy.

True or false: The Mackay Doctrine refers to the 1983 Supreme Court decision in the National Labor Relations Board (NLRB) v. Mackay Radio and Telegraph Co. that required employers to hire only temporary strike replacements to do the work of individuals on strike.

Answers

the answer is false i believe

In 2003, the fraudulent accounting practices at ____________, a Houston-based energy company, was the largest of several business scandals of the early 21st century, in which corporate executives inflated company revenues for self-gain and ultimately created widespread distrust of corporate culture, costing investors billions of dollars as well as employees their pensions.

Answers

Answer: Enron

Explanation:

Enron scandal was an accounting scandal that involved Enron Corporation, which was an American energy company that was based in Houston, Texas.

Enron hid huge amount of trading losses, which led to its bankruptcy. The company used fraudulent accounting practices in order to inflate the revenue of the company and.hid the debt that the company incurred.

Richard agrees to supply Henry with all his needs of specially made shampoo for Henry's beauty salon. Henry believes that Richard is a representative of a famous hair products company, but he finds a letter to a competitor written by Richard two days before the agreement is signed proving that Richard is a fraud. Richard says that this letter may not be admitted to court since the contract is wholly integrated. Is he correct?

Answers

Answer: No. Richard is wrong as the letter may be admitted to court.

Explanation:

Based on the information given, Richard is wrong as the letter may be admitted to court.

It should be noted that prior evidence as well as contemporary evidence is excludable, but only in a situation whereby it alters the contract terms. In this case, the evidence is admitted in order to prove that Richard is fraudulent in the inducement.

12. Market efficiency and perfect price discrimination Perfect price discrimination is efficient because it converts what would have been deadweight loss into consumer and producer surplus inefficient because it converts a portion of consumer surplus into producer surplus inefficient because it results in no consumer surplus efficient because it converts into producer surplus what had been consumer surplus and deadweight loss

Answers

Market efficiency and perfect price discrimination is efficient because it efficient because it converts into producer surplus what had been consumer surplus and deadweight loss.

Perfect price discrimination allows a firm to be more efficient by making it sell at more output level. The firm would have more efficiency level at its factors of production.

Market efficiency is achieved with perfect price discrimination because what would have been dead-weight loss is converted into consumer and producer surplus through perfect price discrimination.

For the market, efficiency is achieved because the dead-weight loss is converted into producer and consumer surpluses, with enormous benefits to the society.

Thus, perfect price discrimination achieves allocation efficiency for both the producer and the consumer (or the society as a whole).

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When working with text boxes and shapes, which tab contains settings for applying shadows and 3-D rotation to objects?

Fill & Line
Effects
Size & Properties
Picture

Answers

Answer:

B) Effects

Explanation:

In Microsoft Presentation the shadows and 3-D rotation option are available inside the Home tab. This option is used to provide special effects on the slides. and other options are not correct that can be described as:

The fill & Line both option working is different from each other the fill option used for fill color in shapes and the Line is used to provide a line in the presentation.The Size & Properties option is used to change the size and property of an object.The picture option is used to insert a picture or modify a picture in the presentation.

Answer:

Effects

Explanation:

Which of the following steps in the management decision-making process does not generally involve the managerial accountant? Determine possible courses of action. Make the appropriate decision based on relevant data. Prepare internal reports that review the impact of decisions. None of these answers are correct.

Answers

Answer:

Make the appropriate decision based on relevant data.

Explanation:

Management involves the control, planning and organization of the affairs of a business firm.

Basically, the management of an organization is saddled with the responsibility of planning, organizing, controlling and staffing within the organization.

The four (4) main management activities are;

I. Organizing

II. Controlling

III. Motivating.

IV. Planning.

Managerial accounting also known as cost accounting is an accounting technique focused on identification, measurement, analyzing, interpretation, and communication of financial information to managers for better decisions making and pursuit of the organization's goals. Thus, it's an accounting system that is used by an organization to report both monetary and nonmonetary information.

In the management decision-making process, making the appropriate decision based on relevant data does not generally involve the managerial accountant.

A managerial accountant is an individual who is saddled with the responsibility of gathering and communication of financial information to managers for better decisions making.

What does it mean to be in business? And what are the benefits of having your own business?
(Take your time please and thank you)​

Answers

Benefits of having your own business is being independent ,you can be your own boss
•you get all the profits
• schedule your own time so it’s easy to plan your life
•promotions
• you control everything

On December 31, 2020, Dow Steel Corporation had 770,000 shares of common stock and 47,000 shares of 9%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 5% common stock dividend on May 15 and paid cash dividends of $570,000 and $86,000 to common and preferred shareholders, respectively, on December 15, 2021. On February 28, 2021, Dow sold 68,000 common shares. In keeping with its long-term share repurchase plan, 4,000 shares were retired on July 1. Dow's net income for the year ended December 31, 2021, was $2,950,000. The income tax rate is 25%.
Required:
Compute Dow's earnings per share for the year ended December 31, 2021. (Do not round intermediate calculations. Enter your answers in thousands. Round "Earnings per share" answer to 2 decimal places.)

Numerator/Denominator= Earnings per share
Numerator?
Denominator?
Earnings per share?

Answers

The earning per share will be "$3.30". A further solution is provided below.

Given:

Common stock,

= 770,000

Paid cash dividends,

= $570,000

Income tax rate,

= 25%

Common and preferred shareholders,

= $86,000

For the year ended, Dow's net income,

= $2,950,000

According to the question,

→ The weighted average number of shares outstanding will be:

= [tex]770000\times \frac{12}{12}[/tex]

= [tex]770000\times 1.05[/tex]

= [tex]808,500[/tex]

or,

= [tex]68,000\times \frac{10}{12}[/tex]

= [tex]56667\times 1.05[/tex]

= [tex]59,500[/tex]

or,

= [tex]4000\times \frac{6}{12}[/tex]

= [tex]\frac{4000}{2}[/tex]

= [tex]2000[/tex]

The total weighted average will be:

= [tex]808,500+59,500+2000[/tex]

= [tex]870,000[/tex]

hence,

The Earning per share will be:

= [tex]\frac{2,950,000-86,000}{870,000}[/tex]

= [tex]\frac{2,864,000}{870,000}[/tex]

= [tex]3.30[/tex] ($)

Thus the above is the right answer.

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When increasing production from 12,000 computers to 15,000 ​computers, the​ company's average cost of production will A. increase from ​$10.10 to ​$10.40 due to the​ learning-curve effect. B. increase from ​$16.80 to ​$18.90 due to the​ learning-curve effect. C. decrease from ​$10.40 to ​$10.10 due to diseconomies of scale. D. decrease from ​$10.40 to ​$10.10 due to the​ learning-curve effect. E. increase from ​$16.80 to ​$18.90 due to economies of scale.

Answers

Answer:

When increasing production from 12,000 computers to 15,000 computers, the company's average cost of production will

D. decrease from $10.40 to $10.10 due to the learning-curve effect.

Explanation:

The learning-curve effect describes the learning-curve theory.  This theory states that there is an improved performance of workers who are producing computers over time.  The whole idea behind this theory is that the more workers produce computers, the better they will get at its production.  In turn, this improved production performance will, in the long run, translate to both lower cost and higher output for the organization.

रचनात्मक र नविन्तम अबधारण लेख्नुहोस। नयाँ ब्यब्साय विभिन्न विधि हरु ब्य्ख्य गर्नुहोस​

Answers

Answer:

लेख्नुहोस। नयाँ ब्यब्साय विभिन्न विधि हरु ब्य्ख्य गर्नुहोस​

Explanation:

The owner of a personal watercraft put an ad for its sale in the paper. Her neighbor saw the ad and told her that he wanted to buy the watercraft but had to arrange for financing. The owner suggested that they write a contract for sale then and there so that they would not have to waste any time while he got his financing. They orally agreed that the contract would not become binding unless the neighbor obtained financing, but the written contract did not mention this and appeared to be a fully integrated document. The neighbor could not obtain financing and the owner brings suit to enforce the written contract. Who will prevail

Answers

Answer: D. The neighbor, because obtaining financing was a condition precedent.

Explanation:

Even though it wasn't listed in the written contract, there was the condition precedent that the contract would not be binding unless funding was obtained. Condition precedent is a condition that must happen for a contract to become enforceable.

Funding was not obtained so the contract cannot be enforced. The neighbor would therefore prevail so long as the owner admits that there was indeed a condition precedent.

Geoff's fiancée, Susan, comes to meet his parents for the weekend. On Saturday morning, while using Geoff's mother's hair dryer, the blower short-circuits sending sparks across the guest room. Susan's angora sweater and her hands are covered with tiny burns. Susan's mother is a lawyer and wants her to sue the seller of the dryer for breach of warranty. Can she?

Answers

Answer:

Yes, since she is a guest in the home of the buyer, the warranties would extend to her in most states.

Explanation:

Warranty

This is simply known as a type of duty or statement of other representation that is made by the seller or places by law on goods and services mainly concerning the aspect of quality, characteristics, strength and ownership of goods and services. It is often regarded also as a duty or obligation of the seller to the buyer in terms of title, quality, characteristics, or conditions of goods.

Types of warranty

1. Express Warranty

2. Implied Warranty of Title

3. Implied Warranty of Merchantability

4. Implied Warranty of Fitness for a Particular Purpose

Express Warranty

This is simply refered to as the description of the goods that is made part of the basis of the negotiation does bring about an express warranty that the goods will adhere to the description or defined it as an agreement of fact or promise in relation to the goods that becomes part of reasons of negotiation therefore brings about express warranty that goods will adhere to 3 things mainly:

1. Affirmation of Fact

2. Description

3. Sample or model

What determines which price the company should choose for its running shoes?

Answers

Answer:

the price that can be affordable for every one and it should be by the opinion of the common people and labours

The strategy that schedules processes based on their group affiliation is generally referred to as _________ . Select one: a. simulation modeling b. queuing analysis c. shortest process next d. fair share scheduling

Answers

Answer:

D. Fair share scheduling.

Sunland Inc. took a physical inventory at the end of the year and determined that $789000 of goods were on hand. In addition, Sunland, Inc. determined that $61500 of goods that were in transit that were shipped f.o.b. shipping point were actually received two days after the inventory count and that the company had $87500 of goods out on consignment. What amount should Sunland report as inventory at the end of the year

Answers

I need points 25;!8;

importance of hotel managers in points​

Answers

Answer:

bacause what is workers doing

Answer:

hope this will be helpful

Explanation:

The important of hotel management are given below:

1.The quality of food, safe water supply, cleaning should be done.

2.It need receptionist , cooks , waiter, guard , laundry worker , helper guider to run the hotel.

3.A hotel need different manpower from Manager to sweeper.

4.The must provide all required facilities .

You work for a Defense contracting company. The company develops software applications which perform intensive calculations in the area of Mechanical Engineering related to metals for ship building. You have a 3-year contract and decide to purchase reserved EC2 instances for a 3-year duration. You are informed that the particular program has been cancelled abruptly and negotiations have brought the contract to an amicable conclusion one year early. What can you do to stop incurring charges and save money on the EC2 instances

Answers

The defense contracting company is spending its money by purchase of EC2 instances. This reserved instance can be used for one to three years.

If the program is cancelled due to some reasons the company can let out the purchase instance to some other company on lease and earn annual rentals on it.

This will save its sunk cost and earn some money with spare reserved EC2 instance.

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When firms in a price-taker market are temporarily able to charge prices that exceed their production costs, Group of answer choices the firms will earn long-run economic profit. additional firms will be attracted into the market until price falls to the level of per-unit production cost. the firms will earn short-run economic profits that will be offset by long-run economic losses. the existing firms must be colluding or rigging the market, otherwise, they would be unable to charge such high prices.

Answers

Answer:

additional firms will be attracted into the market until price falls to the level of per-unit production cost

Explanation:

A price taker is a firm or a seller who is not able to set the market price for its goods and services. Instead, the price taker accepts the price set by market forces - forces of demand and supply.

An example of a price taking firm is a firm in a perfect competition

If a firm is able to charge prices above production costs, the firm is earning an economic profit

If in the short run firms are earning economic profit, in the long run firms would enter into the industry. This would drive economic profit to zero.  

Also, if in the short run, firms are earning economic loss, in the long run, firms would exit the industry until economic profit falls to zero.  

formula for calculating weekly salary from yearly salary?

Answers

First, divide the employee’s annual salary by 52 weeks (the number of weeks in a year).

Example : $31,200 ÷ 52 = $600 per week

how does growth of a business affect exports​

Answers

Answer:

a negative effect on the countrys exchange rate

Explanation:

Jones Company issued $500,000 of 5%, 10-year bonds payable at a price of 92. The market interest rate on the date of issuance was 6%, and the bonds pay interest semiannually. The journal entry to record the first semiannual interest payment using the effective interest amortization method is:

Answers

Answer:

Date                     Account Title                                       Debit              Credit

XX-XX-XXXX       Interest expense                               $13,800

                            Discount on bond payable                                        $1,300

                            Cash                                                                           $12,500

Working      

The bonds were issued at a price of 92 which means they were issued at:

= 500,000 * 96/100

= $460,000

Interest expense

= Issue price * interest rate * 6/12 months

= 460,000 * 6% * 6/12

= $13,800

Cash:

= Bond price * coupon rate * 6/12

= 500,000 * 5% * 6/12

= $12,500

Social media objectives should: Choose only ONE best answer. A Be independent of competing marketing and organizational goals. B Adhere to the S.M.A.R.T. framework (Specific, Measurable, Achievable, Resourced, Time-bound). C Adhere to the CCAF framework: context, challenge, activity, feedback. D Flow from, and directly support, social media tactics. E Be finalized early, so marketing goals can be designed around them

Answers

Answer:

B is the best answer for this question.

Explanation:

It uses the smart goal which helps you make an achievable and realistic goal

One of the strengths of Six Sigma program's has been its a.laser-like focus on worker satisfaction. b.clarity of process and the steps companies must take to adopt it. c.contribution to research in production quality. d.increase in customer loyalty.

Answers

HahahjshhHwjjshdhdhaha

Does the education make a difference in salary for a database administrator??

Answers

Answer:

Yes it surely does

Explanation:

please mark me as brainlyest

Management at the Relaxing Pines resort chain places great emphasis on customer satisfaction and loyalty. They emphasize quiet, luxurious rooms and personalized service. In fact, bonuses are based primarily on customer evaluations. What perspective does this reflect

Answers

Customer Focus. They convey their soul focus is on the customers enjoyment

Spending more money on advertising will make the firms' demand increase – shifting to the right (parallel). Therefore, the firms' demand become more elastic at every price level. Providing examples to support your answer.

Answers

Answer:

Example of such product : Ferrari sports car.   due to various alternatives of sports cars available in the market, when the price level of a Ferrari car increases the demand of the product might become more elastic

Explanation:

When more money is spent on advertising by any firm the demand for the firm's product will most likely increase and this is simply because more potential clients will be reached through advertising.

But when the demand of the goods become more elastic with increase in price level, it is simply because the product has suitable alternatives/competitions in the open market.

Example of such product : Ferrari sports car.   due to various alternatives of sports cars available in the market, when the price level of a Ferrari car increases the demand of the product might become more elastic

Britain taxed windows from 1696 until 1851. Under the 17471757 tax​ rates, you would pay no tax if your home had 09 ​windows, but if your home had 1014 windows you would pay a tax of 6 pence per window for every window in your home. The window tax is similar to the U.S. income tax in that both are​ ___________. A. progressive taxes. B. regressive taxes. C. sales taxes. D. proportional taxes.

Answers

Answer:

A

Explanation:

A tax is a complusory sum levied byb the government or an agency of the government on goods and services.

Taxes increases the price of goods and services

Types of taxes

1. A progressive tax is a tax structure where those who earn higher income are taxed more and those that earn less pay less amount of tax.

A progressive tax ensures vertical equity.

The British system of taxation is an example of a progressive tax. This is because the more windows your house has, the wealthier the individual is. Individual with more windows, would pay a higher tax rate

2. Regressive tax system is a tax system where those that earn lower income pay more tax and those that earn higher income pay less tax.

A graduated income tax is also known as progressive tax

3. A proportionate tax taxes everyone the same regardless of the amount earned.

4. A sales tax is an example of consumption tax. It is levied on the sales of goods and services

You currently purchase a part used in your production process from an outside supplier, and have decided to begin making this part in-house. You have two equipment options for moving production in-house: special-purpose equipment and general-purpose equipment. Cost information for these two options is as follows:


Alternative fixed cost Variable cost
Special_Purpose equipment 200,000 per yr 15 per unit
General-Purpose Equipment 50,000 per yr 20 per unit
What is the break even quantity between the two options?
a) 40,000 units per year
b) 60,000 units per year
c) 30,000 units per year
d) 50,000 units per year

Answers

Answer:

b )60,000 units per year an is aynul yang

Sun Smarts Solar installs solar panels in large newly constructed buildings. The company employs several expert installers who work on a full-time basis. Although the installation team works every day, the company pays them at the end of the month, for the previous month's work. Employee salaries are recorded as __________ on Sun Smarts's balance sheet.
A. capital cash flows
B. current liabilities
C. retained earnings
D. long-term liabilities

Answers

Answer:

Sun Smarts Solar installs solar panels in large newly constructed buildings. The company employs several expert installers who work on a full-time basis. Although the installation team works every day, the company pays them at the end of the month, for the previous month's work. Employee salaries are recorded as long-term liabilities on Sun Smarts's balance sheet.

Sun Smarts Solar company paid the salaries to their employees at the end of the next month, then the salary of the employees recorded as current liabilities on Sun Smarts's balance sheet.

What are the current liabilities?

Current liabilities are defined as any business liabilities that must be settled in cash during the fiscal year or the operating cycle of a company, whichever term is longer.

In the above case, the Sun Smarts Solar record the salaries of their employees on the balance sheet as the current liabilities, as these salaries will settle in cash within the operating cycle.

Therefore, option B is correct.

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