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Tpy6a [65]
3 years ago
13

Your broker calls to offer you the investment opportunity of a lifetime, the chance to invest in mortgage-backed securities. The

broker explains that these securities are entitled to the principal and interest payments received from a pool of residential mortgages. List some of the questions you would ask your broker to assess the risk of this investment opportunity. Questions you would ask include: (Select best choice below.) A. Type of real estate (commercial properties offer less liquidity if the market turns sour, because empty homes can be rented for revenue). B. What percentage of borrowers and behind on their mortgage payments? C. Real estate location (after all, the three most important determinants of real estate price are "location, location, location"). D. Will borrowers soon be experiencing an interest rate increase because they took out a mortgage with a low initial rate that was adjustable after a period of time? E. Quality of real estate (is in a good condition, or would there need to be repairs prior to sale?) F. Creditworthiness of borrowers (how likely is it that borrowers will lose their job and be unable to make payments on a timely basis?) G. Precedence in bankruptcy (would other lenders have a senior claim to properties in bankruptcy?). H. Percentage of properties in the region that are "under water" (homeowners owe more than they borrowed) or in foreclosure. I. All of the above.
Business
1 answer:
irina [24]3 years ago
6 0

Answer:

I. All of the above.

Explanation:

All the given questions are valid questions to be asked to a broker engaged in investment of mortgage backed securities).

An investor in mortgage backed securities will be interested in knowing the type of real estate, percentage of borrowers , real estate location, relevant interest rates, precendence in bankruptcy etc.

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Jean told her stockbroker to purchase 300 shares of stock of company abc at $20 per share. the fee that the stockbroker charges
Varvara68 [4.7K]

Jean told her stockbroker to purchase 300 shares of stock of company abc at $20 per share. The fee that the stockbroker charges for this service is called Commission. Hence, option D is correct.

<h3>Who is stockbroker?</h3>

Stockbroker is the person who execute the shares and invest in them on the behalf of their clients. Stockbroker has certain knowledge about the trading of shares, so using their ability of understanding the stock market.

Many of the stockbroker works for the firm or company and handle their customer's accounts and do tradings.

Thus, option D is correct.

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a. Dividend

b. Yield

c. Net Proceeds

d. Commission

6 0
2 years ago
is the area of business that deals with how a company conducts its business and implements controls to ensure proper procedures
stira [4]

The area of business that deals with how a company conducts its business and implements controls to ensure proper procedures and ethical behavior is corporate governance.

<h3>What is corporate governance?</h3>

It should be noted that corporate governance simply means the system through which companies are controlled and directed.

The board of directors of an organization should hold regular meetings, maintain control over the company, and have clearly defined roles as a result of good corporate governance. Additionally, a strong risk management system is ensured. One of the cornerstones of any successful firm is excellent corporate governance.

In this case, it's important for companies to engage in ethical procedures

Therefore, the correct option is corporate governance.

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3 0
2 years ago
Which of the following is a difference between goods and services? a. Goods are not protected by patents, whereas services are p
amm1812

Answer:

B. Goods are tangible whereas services are intangible.

7 0
2 years ago
Andreas is a political consultant with his own firm. he travels the country and provides campaign advice for political candidate
Rus_ich [418]

Bills accounting profit is equals to revenue ($250,000) minus explicit (monetary) cost (50,000 and 30,000), while his economic profit is equals to accounting profit minus implicit (opportunity) cost (3,000 and 100,000). Accounting profit is $170,000 and Economic profit is $67,000.

<span>Economic profit is always lower than accounting profit because explicit costs and implicit costs are both deducted to revenue. Implicit costs are cost that he should have earned if he gives up his present resources. These costs are projected cost and are not yet incurred.</span>

6 0
3 years ago
4. what is the fallacy of the "product cost concept"? what did alex do to obtain more orders?
Tanzania [10]
<span>What is the fallacy of the "product cost concept"? The fallacy of the "product cost </span>concept" refers to the excess capacity and in this situation the only cost that matters is the material cost.  Product costs refers to the costs of making the product, materials to make the product are important and the main part of product cost. 
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