All categories

2 years ago

All financial intermediaries are authorized depository institutions by APRA to carry out financial intermediation

Business

1 answer:

VladimirAG [237]2 years ago

7 0

Answer:

The correct answer is the option: True.

Explanation:

First of all, the Australian Prudential Regulation Authority or APRA is the name given to an independent statutory authority whose main purpose is to regulate and supervise institutions across banking, insurance and superannuation and promotes financial system stability in Australia.

Secondly, authorized deposit-taking institutions are those financial institutions that are permitted to accept deposits from the public in Australia and all financial intermediaries that are registered are authorized to carry out financial intermediation.

You might be interested in

You are considering the following two mutually exclusive projects. The crossover point is _____ and Project _____ should be acce

Romashka [77]

Answer:

13.28%; B

Explanation:

Project A Project B Differential

Year 0 -$21,000 Year 0 -$21,000 0

Year 1 $7,000 Year 1 $15,000 -$8,000

Year 2 $7,000 Year 2 $5,000 $2,000

Year 3 $15,000 Year 3 $7,000 $8,000

the discount rate = 14%, the NPV is:

NPV project A = -21,000 + 7,000/1.14 + 7,000/1.14² + 15,000/1.14³ = $651

NPV project B = -21,000 + 15,000/1.14 + 5,000/1.14² + 7,000/1.14³ = $730

if the discount rate is 14%, project B should be accepted (higher NPV)

the crossover rate is the discount rate where both NPVs are equal.

we must find the IRR using an excel spreadsheet and the IRR function:

=IRR (0,-8000,2000,8000) = 13.28%

3 0

2 years ago

The Water Sports Company soon will be producing and marketing a new model line of motor boats. The production manager, Michael J

Licemer1 [7]

Answer:

Explanation:

X - number of units sold

Total cost for production = 1,500,000 + 1600X

Total cost for purchasing = 2000X

a. For 4000 units sold

Total cost for production = 1,500,000 + 1600 * 4000 = $7,900,000

Total cost for purchasing = 2000* 4000 = $8,000,000

In this case producing is cheaper. Therefore, it is better to produce

b. Y - break-even point

Then : 1,500,000 + 1600 * Y = 2000* Y

So 1,500,000 = 400 Y

Y = 3750

At №of units less than 3750 purchasing will be the better option

And above 3750 producing will be the better option

4 0

2 years ago

Willa and Westley are siblings who built a hair salon business from the ground up. They are now contemplating opening an additio

lorasvet [3.4K]

The correct option is C

Explanation:

The annual profit increase = $400,000

The following formula is to be used in order to calculate the total profit enhancement in five years

The total profit increase in 5 years = 400000 multiply with 5 = $2,000,000 = $2 million , As compared to cost of $1 million.

Thus, The correct option is answer (C) To take on the new salon because the expected marginal benefit ($2 million over 5-years) is greater than the estimated marginal cost ($1 million).

8 0

2 years ago

Now consider the relationship between the price level and the quantity of money that people demand. The lower the price level, t

gayaneshka [121]

Answer: less, less

Explanation: considering the relationship that exist between the price level and the quantity of money that people demand. The lower the price level, the less money the typical transaction requires, and the less money people will wish to hold in the form of currency or demand deposits.

7 0

2 years ago

Parkinson Company (PC) had a beginning balance of $86,000 and an ending balance of $90,000 in itslong-term marketable securities

loris [4]

Answer:

the cash inflow from the sale of securities is $7,000

Explanation:

The computation of the cash inflow from the sale of securities is shown below:

= Opening balance + purchase marketable securities + gain on the sale of marketable securities - ending balance

= $86,000 + $10,000 + $1,000 - $90,000

= $97,000 - $90,000

= $7,000

hence, the cash inflow from the sale of securities is $7,000

8 0

2 years ago