Describe the trading blocs that are used in classifying the world's bonds markets
What will be an ideal response?
The trading blocs used by practitioners to classify the world's bond market in terms of trading bloc include the four classifications. They are: (i) the dollar bloc, (ii) the European bloc, (iii) the Japan bloc, and (iv) the emerging markets bloc. The trading bloc construct is useful because each bloc has a benchmark market that greatly influences price movements in the other markets. Investors are often focused more on the spread level of, say, Denmark to Germany, than the absolute level of yields in Denmark. More details on are given below.
The dollar bloc includes the United States, Canada, Australia, and New Zealand. The European bloc is subdivided into two groups: (i) the euro zone market bloc, which has a common currency (Germany, France, Holland, Belgium, Luxembourg, Austria, Italy, Spain, Finland, Portugal, and Greece), the euro, and (ii) the non-euro zone market bloc (Norway, Denmark, and Sweden). The United Kingdom often trades more on its own, influenced by the euro zone and the United States, as well as its own economic fundamentals. The emerging markets bloc includes Latin America, Asia (with the exception of Japan), and Eastern Europe.
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Answer the following statement true (T) or false (F)
Vertical analysis is a comparison of financial statement items for a single company over a period of time
a. True b. False Indicate whether the statement is true or false
Avril is selling a uniform service to a company that cleans many of the office buildings in Baltimore. She is doing a sales presentation to all of the members of the company's buying center. She has just finished giving a brief history of her company and discussing her firm's philosophy to the 25 people in the room. She has also mentioned a few large companies her firm has worked with in the past. Avril has done this to:
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Assume a corporation has 3,000 shares of $4 par common stock outstanding. The corporation declares an 8% stock dividend. At the time of declaration, the market value of their stock was $6 . What is the appropriate journal entry?
a. Debit Stock Dividends $1,440, credit Stock Dividends Distributable $960 and credit Paid-in Capital in Excess of Par-Common Stock $480. b. Debit Stock Dividends $960, credit Stock Dividends Distributable $960 c. Debit Stock Dividends Distributable $960, debit Paid-in Capital in Excess of Par-Common Stock $480 and credit Stock Dividends $1,440. d. Debit Stock Dividends Distributable $960, credit Stock Dividends $960. e. Debit Stock Dividends $1,440, credit Stock Dividends Distributable $480 and credit Paid-in Capital in Excess of Par-Common Stock $960.