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Artist 52 [7]
3 years ago
8

According to an article in the Wall Street Journal​, in​ 2016, ​Moody's Investors Service has agreed to pay​ $130 million to end

a prominent lawsuit alleging​ crisis-era misconduct ... The article also noted​ that, The ​industry's business model ... remains in place. ​Source: Timothy W.​ Martin, ​Moody's to Pay Calpers​ $130 Million to Settle ​Lawsuit, Wall Street Journal​, March​ 9, 2016. All of the following factors contributed to the misconduct cited in the​ article, except: A. Rating agencies provided high ratings primarily to ensure firms would continue to hire them. B. Analysts anticipated how severe the housing crisis would be. C. Many of the​ mortgage-backed securities had complicated structures. D. Analysts at the rating agencies were reluctant to require issuers to provide sufficient information to rate the securities. Which of the following does NOT explain why the​ industry's business model remains in​ place? A. Governments include bond ratings in their regulation of banks. B. New restrictions on conflicts of interest have been placed on the agencies. C. Ratings agencies are shielded from investor lawsuits. D. Investors still rely heavily on the agencies.
Business
1 answer:
Lerok [7]3 years ago
7 0

Answer:

All of the following factors contributed to the misconduct cited in the​ article, except:

D. Analysts at the rating agencies were reluctant to require issuers to provide sufficient information to rate the securities.

Which of the following does NOT explain why the​ industry's business model remains in​ place?

C. Ratings agencies are shielded from investor lawsuits.

Explanation:

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Inventory records for Herb's Chemicals revealed the following: March 1, 2016, inventory: 1,000 gallons @ $7.20 = $7,200 Purchase
amid [387]

Answer:

correct option is A. $5,087

Explanation:

given data

March 1, 2016, inventory: 1,000 gallons @ $7.20 = $7,200

Purchases                                        amount                 Sales  

Mar. 10               600 gals @ $7.25      4350          Mar. 5 400 gals

Mar. 16               800 gals @ $7.30       5840          Mar. 14 700 gals

Mar. 23              600 gals @ $7.35        4410          Mar. 20 500 gals

                                                                                    Mar. 26   700 gals

total                         3000 @7.267          21800

cost of good sold   2300 @ 7.267         16714

so

balance is =  3000 - 2300 = 700 @ 7.267

ending inventory is $5087

so correct option is A. $5,087

7 0
3 years ago
Aluminum maker Alcoa has a beta of about 1.85​, whereas Hormel Foods has a beta of 0.39. If the expected excess return of the ma
Nady [450]

Answer and Explanation:

The computation is shown below:

As we know that

According to the Capital Asset Pricing Model (CAPM) formula

Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)

And, the market rate of return - Risk-free rate of return is also known as the market risk premium

As we can see that the Alcoa contains high beta as compared to Hormel Foods so the Alcoa has a higher equity cost of capital

And, the higher rate is

= (Excess return of the market) × (Alcoa beta - Hormel foods beta)

= (3%) × (1.85 - 0.39)

= 3% × 1.46

= 4.38%

8 0
3 years ago
Taylor has a retirement account that pays 4% per year compounded monthly. Every month for 20 years, Taylor deposits $444, with t
cupoosta [38]

Answer:

Taylor can withdrawn 1,374.20 dollars each month

Explanation:

Timeline:

deposits of 444 for 20 years =   withdrawals of X for 15 years

   <-----/-/-/-/-/-/-/-/-/-/-/-/-/-/-/-/-/---\\-\-\-\-\-\-\-\-\-\-\-\->

We must calcualte amount to satisfy:

future value of his deposits = present value of his withdrawals

   

We first need to get the future value of the retirement account

and then the PMT this fund can do.

<u>deposits future value:</u>

C \times \frac{(1+r)^{time} -1}{rate} = FV\\

C $ 444

time    240 (20 years x 12 months er year)

rate 0.003333333 ( 0.04 annual rate / 12 months = monthly rate)

444 \times \frac{(1+0.003333333)^{240} -1}{0.003333333} = FV\\

FV $162,847.9340

<u>withdrawals PMT:</u>

PV \div \frac{1-(1+r)^{-time} }{rate} = C\\

PV  $162,847.93

time 180

rate 0.005

162847.93 \div \frac{1-(1+0.005)^{-180} }{0.005} = C\\

C  $ 1,374.203

6 0
3 years ago
​Paul, the HR​ manager, works in the Townsville plant and reports to the plant manager​ there, but he also reports to the corpor
xxMikexx [17]

Answer:

Letter B is correct. Unity of command.

Explanation:

Unity of command is defined as t<u>he importance of respecting hierarchy within an organization.</u> The orders are given by the superiors and the subordinates must comply with them, that is, the orders of those who are at the top of the hierarchy must always be respected and only the superiors are allowed to change them.

When there is a violation of the command unit, several related conflicts can arise, such as lack of consensus among teams, disorganization, failure in the communication process, which negatively impact organizational effectiveness.

4 0
3 years ago
You invest 50% of your money in security A with a beta of 1.6 and the rest of your money in security B with a beta of 0.7. The b
nevsk [136]

Answer:

The answer is D). 1.15, hope this helps, have a great day/night, stay safe, happy thanksgiving!

8 0
3 years ago
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