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Marat540 [252]
3 years ago
13

In the securitization​ process, A. security investors make loans to​ banks, who in turn make loans to households. B. banks grant

loans to households and bundle the loans into securities that are then sold to investors. C. banks make loans to​ households, and then collect payments from the government to cover these loans. D. government bonds are used as a source of funds to make loans to households.
Business
1 answer:
MaRussiya [10]3 years ago
7 0

Answer:

Option "B" is the correct answer to the following question.

Explanation:

Under securitization, financial assets are collected through various means, the assets collected are sold as securities to investors or parties at a fixed interest rate. The process of converting loans into securities by banks is called securitization.

In the process of lending to homes, banks coverts the loans to securities and sell them to investors.

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What is the present value of $5,000 received 5 years from now if the discount rate is 5% (rounded to the nearest dollar?a. $6,38
e-lub [12.9K]

Answer:

The correct option is b. $3,918.

Explanation:

This can be calculated using the simple present value (PV) formula as follows:

PV = FV / (1 + r)^n ............................ (1)

Where;

PV = Present value of the amount = ?

FV = Future value of the amount = $5,000

r = Discount rate = 5%, or 0.05

n = number of years = 5

Substituting the values into equation (1), we have:

PV = $5,000 / (1 + 0.05)^5

PV = $5,000 / 1.05^5

PV = $5,000 / 1.2762815625

PV = 3,918

Therefore, the correct option is b. $3,918.

6 0
3 years ago
Power Drive Corporation has the following beginning balances in its stockholders' equity accounts on January 1, 2021: Common Sto
Vlad [161]

Answer:

Total Stockholder's Equity = $7,200,000

Explanation:

                                            Power Drive Corporation

                                              Partial Balance Sheet

                                                As on Dec.31, 2021

Stockholder's Equity:

Common Stock                                                             $100,000

Additional Paid in-Capital                                            $4,500,000

Retained Earning at beginning                   $2,000,000

Add: Net income                                             <u>$600,000</u>

Total Retained Earnings                                             <u>$2,600,000</u>  

Total Stockholder's Equity                                         <u>$7,200,000</u>

7 0
3 years ago
Read 2 more answers
What is a commodity?
BabaBlast [244]

The correct answer is D. Something of value that can be bought, sold, or traded

Explanation:

The word "commodity" is used in economics to refer to any good or product that has an economic value and due to this, can be part of the market. This means any commodity can be traded, sold, or bought. Moreover, this concept is mainly applied to raw materials such as coal, timber, or wheat that can be used to make other manufactured products such as plastics, furniture, or flour. According to this, the option that correctly describes the word commodity is option D.

3 0
3 years ago
You receive an email "You won a Ford Bronco, Click the link to retrieve your prize."
Mumz [18]

When you get a phishing email, your response should be as follows:

B. Check for phishing by hovering over the hyperlink, checking the sender's name, and reviewing for improper grammar and misspelled words.

E) Click the "Report Phish" button to report the suspicious email.

<h3>What is email phishing?</h3>

Email phishing is the sending of fraudulent messages to trick recipients into revealing sensitive information by making them think that they had become extremely lucky without participating in any lottery or game.

When email phishing is received, do not click the link or forward the email to another person.  You do not need to respond to the sender, asking for its legitimacy.

2. The best way to navigate through the knowledge CHECK is <u>A. Click the Back button</u> to return to the video.

Thus, when you get a phishing email, your response should be <u>Options B and E</u>.

Learn more about email phishing at brainly.com/question/2547147

4 0
1 year ago
Suppose the economy is experiencing an output gap of –3%. a. Select each response that indicates how monetary policy or fiscal p
igor_vitrenko [27]

Answer:

Suppose the economy is experiencing an output gap of –3%

a. Monetary policy or fiscal policy can be used to raise actual output toward potential output when:

The government can increase its spending or reduce taxes, which will shift the IS curve to the right and increase GDP.

The Fed can reduce the interest rate, which will shift the MP curve down and increase GDP.

b. The policies identified in part a,

can be used together to raise actual output toward potential output.

Explanation:

Investment-Savings (IS) curve shows all the levels of interest rates and output (GDP) at which an economy's total desired investment (I) equals its total desired saving (S).  This equilibrium can be achieved at a level of interest rate that maximizes output.  The IS curve slopes downward, and to the right because at a lower interest rate, investment is higher, which produces more total output (GDP) for the economy.

7 0
2 years ago
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