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Question
A broker has purchased stock in Sony Corporation and has asked Citibank to act as a custodian of this stock. Citibank has issued a negotiable instrument representing ownership interest in the stock of the Japanese company. These negotiable instruments are denominated in dollars and not in yen. This is an example of a(n):
A. Eurocommercial paper (ECP).
B. Depository receipt (DR).
C. Note issuance facility.
D. Currency swap.
E. None of the options is correct
Answer
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Related questions
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Which of the following adjustments are made to gross loans and leases to obtain net loans and leases?
A. Loan and lease loss allowance is added to gross loans.
B. Unearned income is subtracted from gross interest received.
C. Investment income is added to gross interest received.
D. Loan and lease loss allowance and unearned income is subtracted from gross loans.
E. Loan and lease loss allowance is subtracted from gross loans and investment income is added to gross interest received.
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The short-term securities of the bank, including T-Bills and commercial paper, are often called __________________________ because they are the second line of defense to meet demands for cash.
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C. underwriter's commitment report
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A. two
B. three
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The Jones State Bank is planning to add a branch office on the west side of Edmond, Oklahoma. The bank has done a survey of local residents near the area where it wants to build the branch office and has discovered that most residents are in their 50's and 60's. Which factor would this address when considering whether to add a new branch?
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C. Average age of the local population
D. Population Density
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Which of the following would not be a telephone service that customers can get from a bank call center?
A. The current balance in their account
B. A fax copy of a loan application to the bank
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A(n) _________________________ is an agreement between a buyer and a seller today which calls for the delivery of a particular security in exchange for cash at some future date for a set price.
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Maryellen Epplin notices that a particular T-Bill has a banker's discount rate of 9 percent in the Wall Street Journal. She knows that this T-Bill has 20 days to maturity and has a face value of $10,000.
What is the yield to maturity on this T-Bill?
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A. It should fall by 2 percent.
B. It should fall by 0.6 percent.
C. It should fall by 4 percent.
D. It should fall by 1 percent.
E. It should not show any fall.
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Which of the following would be an example of a repriceable asset?
A. Money the bank has borrowed from the money market
B. Cash in the vault
C. Demand deposits that do not pay interest
D. Short-term securities issued by the government about to mature
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A bank is liability sensitive, if its:
A. deposits and non-deposit borrowings are not affected by changes in interest rates.
B. interest-sensitive assets exceed its interest-sensitive liabilities.
C. interest-sensitive liabilities exceed its interest-sensitive assets.
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The _______________ is determined by the demand and supply for loanable funds in the market.
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A. 100,000 shares
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According to the textbook, the lackadaisical profit performance surrounding a merger may be explained by the:
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D. managerial hubris and sizeable merger premium that acquirers have to pay to shareholders of the acquired firms.
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According to the textbook, bank mergers are often motivated by:
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The merger of Bank of America and Security Pacific in 1992 resulted in an expansion of branch offices for both banks.