What is meant by the option-adjusted spread?
What will be an ideal response?
The option-adjusted spread (OAS) measures the yield spread (in basis points) that can be used to convert dollar differences between value and price. Thus, basically, the OAS is used to reconcile value with market price. The reason that the resulting spread is referred to as
option-adjustedis because the cash flows of the security whose value we seek are adjusted to reflect the embedded option.
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When evaluating the quality of accounting information the user should consider the ____________________ of the firm's disclosures
Fill in the blank(s) with correct word
As the salesperson entered the prospect's office, the salesperson extended his hand and said, "Your old college roommate, Tiara Johns, suggested I call on you." This action occurred in which stage of the personal selling process?
A) approach B) prospecting C) preapproach D) close the sale E) follow-up
Which statement made by a salesperson as an inducement for selling a power lawnmower to Bartkovich could most likely become the basis of a successful lawsuit for fraud if the statement proved to be false?
a. "This lawnmower is a real bargain." b. "This lawnmower will outperform any other lawnmower on the market." c. "This lawnmower is one of the finest on the market today." d. "Using this mower you can mow an acre of lawn with less than a gallon of gasoline."
If Walmart were to base its advertising appropriation on the amount that Target spends, it would be using the ____ approach.
A. objective-and-task B. percent-of-sales C. industry-standard D. arbitrary E. competition-matching