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3 years ago

Mutual funds that invest in mortgage-backed pass-through securities are exposed to which of the following risks and costs?

Business

1 answer:

REY [17]3 years ago

7 0

Answer:

e. Prepayment risk

Explanation:

Prepayment risk is the likelihood of the firm where Special Purpose Vehicle that manages the mortgage-backed pass-through securities to repay the principal sum invested or part of it earlier than expected which then denies the investor of interest payments throughout the investment period.

When principals are repaid much earlier, the interest that could be earned on the principal is lost since the principal upon which the interest is to be computed has been repaid, hence, no more basis for the interest thereafter

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Corporation meaning in 3-5 sentences

alexgriva [62]

Answer:

Corporation- a company or group of people authorized to act as a single entity (legally a person) and recognized as such in law.

Ps. Brainliest pls

7 0

3 years ago

Which of the following is not part of the flow of events in variance analysis?

IgorC [24]

Answer:

e. Working to ensure that all variances are favorable.

Explanation:

the steps in effective management of variance analysis

Identifying questions and their explanations

Preparing standard cost performance reports

Taking corrective and strategic actions

Computing and analyzing variances

So the option is E.

Working to ensure that all variances are favorable.

7 0

3 years ago

Roche Biotech provides company cars for its salespeople that cost an average of $25,000. Using the class recovery system of five

Len [333]

Answer:

$8,000

Explanation:

Data provided in the question:

Average cost of car = $25,000

Now,

Using the class recovery system of five years,

The rate of depreciation expense in year 2 of the MACRS is 32%

Therefore,

The depreciation expense in the year 2 will be

= Average cost of car × Rate of depreciation

= $25,000 × 32%

The depreciation expense in the year 2 = $8,000

7 0

3 years ago

Dan Watson started a small merchandising business in 2018. The business experienced the following events during its first year o

Jet001 [13]

Answer:

<u>Horizontal statemtent:</u>

Assets = Liabilities + Equity

1) 30,000 = 0 + 30,000

2) 18,000- 18,000 = 0 + 0

3) 17,000 = 0 + 17,000

+30,000 Financing

Operating

collected from customer 32,000

paid to suppliers (18,000)

net 14,000

total cash flow 44,000

Income statment

sales revenue 32,000

COGS (15,000)

income 17,000

Total assets: 47,000 (44,000 cash + 3,000 inventory)

Explanation:

assets:

1) +30,000 cash from common stock

2) 18,000 inventory - 18,000 cash = 0 effect on total assets

3) 32,000 cash - 15,000 inventory = 17,000

total assets: 30,000 + 17,000 = 47,000

8 0

4 years ago

The business functions in the value chain include:

Juli2301 [7.4K]

Answer:

A. Research and development, Design of products and processes, Production, Marketing, Distribution, and Customer service.

Explanation:

The business functions in the value chain are:

-Research and development: Explore new ideas.

-Design of products and processes: Plan the new products, services and processes.

-Production: Transform all the resources to get the product or deliver a service.

-Marketing: Present and sell the product or service.

-Distribution: Deliver the product or service to the customers.

-Customer Service: Provide support to customers.

6 0

3 years ago