All categories

3 years ago

Which of the following basic steps in risk analysis should be performed first?

1 answer:

Volgvan3 years ago

3 0

<span>“What is a risk assessment?” This post aims to allow you to answer basic questions on risk assessments such as “a definition of risk assessment”, “why do risk assessments?”, “when to do a risk assessment?” and “how to do a risk assessment?”.

</span>

You might be interested in

Assume that the reserve requirement is 20 percent. First National Bank has vault cash and deposits with the Fed of $80 million,

drek231 [11]

Answer:

The answer is (c) First National Bank is not in a position to extend additional loans.

Explanation:

Please find the below for detailed explanation and calculations:

The First National Bank current reserve ratio is calculated as : Vault cash and deposits of the Bank with the Fed/ Total demand deposits of the Bank = $80 million / $400 million = 20%.

As the First National Bank' reserve ratio is now equal to the Fed's Reserve Requirement, First National Bank can not further extend its loan portfolio's balance, otherwise, its reserve ratio will fall below Fed's requirement which is not acceptable.

So, the answer is (c).

3 0

3 years ago

Richland’s real GDP per person is $10,000, and Poorland’s real GDP per person is $5,000. However, Richland’s real GDP per person

dangina [55]

Answer:

It will take approximately 36 Years to Poorland to catch up to Richland.

Explanation:

Given data:

The GDP increase in Poorland per year = 1 %

The GDP increase in Richland per year = 3 %

Calculations:

Step 1: For Richland:

The formula for calculating the per year GDP increase for Richland is:

GDP = 10,000 + (10,000 x (1/100)) ---- (1)

GDP for first Year = 10,100$

GDP for second Year = 10,201 $

Similarly using the formula (1) we calculated the values for 10 and 20 years

GDP for 10th Year = 11046.2$

GDP for 20th Year = 12201.9$

Step 2: For Poorland:

The formula for calculating the per year GDP increase for Poorland is:

GDP = 5,000 + (5,000 x (3/100)) ---- (1)

GDP for first Year = 5,150$

GDP for second Year = 5,304.5 $

Similarly using the formula (1) we calculated the values for 10 and 20 years

GDP for 10th Year = 6719.6$

GDP for 20th Year = 9030.6$

Step 3: When will Poorland catch up to Richland:

By calculating values using the above formulas, we have found that for 38th year, Poorland will catch upto Richland and will have more GDP.

Poorland GDP for 36th Year = 14491.4$

Richland GDP for 36th Year = 14307.7$

6 0

4 years ago

Agri-Cor sells farm equipment throughout the euro zone. The company has noticed that some customers travel to countries where eq

sergejj [24]

Answer:

These statements are correct:

It makes it easier to compare prices across Europe - the Euro is the common curriency across 19 countries, but prices in those countries are far from being the same. For example, Germany is a lot more expensive than Greece (although a lot wealthier too), and Greek people can easily find out that the same product in Germany costs more euros than in Greece.
It makes Europe an optimal currency area - in the Eurozone, economic efficiency is now higher because resources can be allocated across different countries thanks to the fact that prices can be compared in the region.

3 0

3 years ago

If a monopolist or a perfectly competitive firm is producing at a break-even point, then:

Klio2033 [76]

If a monopolist or a perfectly competitive firm is producing at break-even point then they're basically equaling their average revenue to the average total cost - ii.

This basically means that they are operating at a level where the amount which they produce relates to the amount they spend.

4 0

4 years ago

Which of the following would be most likely to lead to higher interest rates on all debt securities in the economy?

frutty [35]

Answer:

The correct answer is a) The economy moves from a boom to a recession

Explanation:

The fiscal policy used by the federal reserve is the use of government spending and tax policies to contract or expand the economy.

If the Federal Reserve of the United States increases the interest rates it carries a contract policy of the economy. It is used to reduce the inflation and the economy moves from a boom to a recession

4 0

3 years ago