Describe three types of risk associated with various money market instruments
What will be an ideal response?
Answer: 1. Credit risk-the risk that a borrower may not repay on a timely basis.
2. Interest rate risk-the risk that the value of an investment could decline as a result of a change in interest rates.
3. Liquidity risk-the potential loss that could occur as a result of converting an investment into cash.
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During which stage of the organizational design process are employees adjusting to new reporting lines, a change in their roles, or communications with different divisions?
a. Gathering data b. Renew the design c. Setting the scene d. Implementing the design
When comparing FASB's Conceptual Framework to the IASB's Conceptual Framework, ______.
A) the objective and qualitative characteristics are identical B) they differ in the descriptions of elements of financial reporting C) they differ in the principles of recognition and measurement D) All of the above
The difference between a receipt and an invoice is that the receipt records ________.
A. sales B. interest paid C. purchases D. credit transactions
The coefficient of variation is
a. the same as the variance b. the standard deviation divided by the mean times 100 c. the square of the standard deviation d. the mean divided by the standard deviation