Which of the following statements is INCORRECT? Sovereign risk in a swap refers to the risk...

Which of the following statements is INCORRECT? Sovereign risk in a swap refers to the risk that a country will impose restrictions that interfere with the performance of the swap. b)Interest rate risk in a swap refers to the risk that interest rates changing unfavorably before the swap bank can lay off to an opposing counterparty on the other side of an interest rate swap entered into with the first counterparty.Credit risk in a swap refers to the risk that a counterparty will default. c)Mismatch risk in a swap refers to the risk that the swap bank is unable to find a second counterparty for a swap that the bank has agreed to take with another party. d)Basis risk in a swap refers to the risk that exchange rates move against the swap bank after it has only gotten half of a swap set up.

Expert Solution

Mismatch risk in a swap refers to the risk that the swap bank is unable to find a second counterparty for a swap that the bank has agreed to take with another party

jeff jeffy answered 1 year ago

Which one of the following statements is INCORRECT? Group of answer choices Systematic risk of a...

Which one of the following statements is INCORRECT? Group of answer choices Systematic risk of a security is equal to the value of its beta coefficient Market risk premium is the excess market rate of return over the risk-free rate of return Market yield from government bonds indicates the risk-free rate of return As per CAPM, the security risk premium is affected by the beta coefficient of the security

74. Which of the following statements is incorrect? &nbsp

74. Which of the following statements is incorrect? A. β- hemolytic Streptococci show complete clearing around the colonies on Blood Agar. B. Stapylococci can be isolated on Phenyl Ethanol Agar and always ferment mannitol on Mannitol Salt Agar. C. Chocolate agar provides NAD and hemin thus supports the growth of Haemophilus influenzae D. Salmonella appears as yellow colonies with black centers on Salmonella-Shigella agar 75. Which of the following statements is incorrect? A. Typhoid fever is a systemic...

Which one of the following statements is incorrect?

Which one of the following statements is incorrect? 1) Scarcity is a universal phenomenon that arises because resources are limited 2) Microeconomics is the branch of economics which studies how individual decision-makers behave and interact with each other 3) Macroeconomics is the branch of economics which studies the functioning and performance of a society's economy as a whole (often with a focus on levels of and changes in aggregate measures such as the unemployment rate, inflation rate, and Gross Domestic Product growth rate). 4)...

Which one of the following statements is INCORRECT? Group of answer choices An overpriced security's reward-to-risk...

Which one of the following statements is INCORRECT? Group of answer choices An overpriced security's reward-to-risk ratio would be lower than the reward-to-risk ratio of the market The reward-to-risk ratio of the market would be lower than the reward-to-risk ratio of an overpriced security An under-priced security's reward-to-risk ratio would be higher than the reward-to-risk ratio of the market The reward-to-risk ratio of the market would be lower than the reward-to-risk ratio of an under-priced security

32. Which of the following statements is NOT an advantage of a swap transaction? A. It...

32. Which of the following statements is NOT an advantage of a swap transaction? A. It usually allows the company to achieve a lower cost of funds. B. It is used to hedge both interest rate risk and foreign exchange risk. C. It facilitates the restructuring of cash flows associated with existing borrowings. D. It transfers the credit risk to the counterparty. why d is not correct???

Which of the following is incorrect? A. Value with risk = Value without risk – Cost...

Which of the following is incorrect? A. Value with risk = Value without risk – Cost of risk B. Value without risk – Value with risk = Cost of risk C. Less variability = More risk D. Greater variability = Greater risk

Which of the following statements is incorrect? Select all that apply.

Which of the following statements is incorrect? Select all that apply. The eukaryotic ribosome uses both the 5' cap and the 3' tail to correctly position the ribosome on the initation codon GTP is hydrolyzed by aminoacyl-tRNA synthetases to prepare amino acids for attachment to tRNAs The peptidyl-transferase activity of the ribosome is catalyzed by one of the protein domains of the large ribosomal subunit The Shine-Dalgarno consensus sequence is located downstream of the initiation codon and base pairs with the 16S rRNA of...

Which of the following statements is INCORRECT regarding Master Budget?

Which of the following statements is INCORRECT regarding Master Budget? 1 Master budget is one type of operational budget 2. Master budget is focusing specific volume of business activity that is expected. 3 Budgeted balance sheet should be prepared before budgeted income statement. 4. Master budget starts from preparing sales budget.

Which of the following statements about the autonomic nervous system is INCORRECT?

Which of the following statements about the autonomic nervous system is INCORRECT? A The preganglionic fibres in the parasympathetic division are usually long compared to the postganglionic fibres B The sympathetic division mediates responses that allow the body to respond to 'flight and fright' situations C The ganglia of the sympathetic division are usually close to the spinal cord D The adrenal medulla is a sympathetic ganglion E The parasympathetic nerves arise from the brain stem and the sacral region...

Which of the following statements is incorrect? The LRPC shifts when there is a change in...

Which of the following statements is incorrect? The LRPC shifts when there is a change in inflation expectations. The SRPC does not shift in the short run. The SRPC shifts during a stagflation. The LRPC shifts when there is a change in structural unemployment.

Question