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Alenkinab [10]
3 years ago
7

A bank can borrow or lend at LIBOR. Suppose that the six-month rate is 4% and the nine-month rate is 5%. The rate that can be lo

cked in for the period between six months and nine months using an FRA is 6.5%. What arbitrage opportunities are open to the bank?
Business
1 answer:
Svetlanka [38]3 years ago
4 0

Answer: Interest rate from Banks

Explanation: The Opportunities open to the bank areas follows-1.Customers Visiting the bank for loans 2. This will encourage retained earnings for the bank. 3. The interest rate will increase the bank equities on the stock exchange market. 4. This will attract investment opportunities in other sectors for the bank.

You might be interested in
Neon Electronics Inc. sourced touch screens required for its tablet computers, cell phones, and televisions from a manufacturer
Nataly_w [17]

Answer:

C. backward vertical integration

Explanation:

Vertical integration is one in which the supply chain of a clothe producing company is owned by the

Backward integration is a type of vertical integration in which a firms starts to fill in the role it once designated to another in the manufacturing of its product. Backward vertical integration would see a company buying another to fulfill its needs as regarding production.

From the above question, it can be seen that due to the inability of the china firm to meet up with Neon Electronics Inc; it started to produce the touchscreens needed for the tablet computers.

Cheers.

3 0
3 years ago
Preston Industries has two separate divisions. Each division is in a separate line of business. Division A is the largest divisi
bogdanovich [222]

Answer:

D. assign appropriate, but differing, discount rates to each project and then select the projects with the highest net present values.

Explanation:

Even though Division A is the largest and produce the highest amount of sales, it will not be selected based on this factor but its net present value(NPV). This will determine if the sales actually can fully recover the initial investment amount and yield a profit. Therefore, since Division A and B have different levels of risk, it will be appropriate to find their NPVs using different discount rates and accept the one with the highest NPV.

8 0
3 years ago
Based on what you have read, Paul has the absolute advantage in the production of ...
suter [353]

Answer:

1. Both shirts and handbags

2. Paul

3. Francisco

4. Specialized by producing shirts only

Explanation: I just took it hope this helps, you!

3 0
3 years ago
The primary goal of ________ is to get the right people interested in working for an organization or in a specific job, then per
-BARSIC- [3]

Recruiting.

Recruiting is the process of attracting, screening, selecting, and retaining top talent for jobs.

4 0
3 years ago
Read 2 more answers
In a perfectly competitive market
lawyer [7]

Answer:

D. No seller can influence the price of the product

Explanation:

A perfect market for competition is a market which has a high level of competition.  

It has the following features-

1. With regard to the market, knowledge is perfect in this rivalry between producer and consumer.  

2. Free entry, and exit

3. Deals with same or homogeneous products

4. The buyers and sellers are more in this market

5. There is no transport cost

Moreover, the average revenue and the marginal revenue are equal.

So, the correct option is D.

6 0
3 years ago
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