Constitutionally, which two sets of powers do state governments have? A customer buys 5M of the notes. Once the Federal government started "stripping" bonds itself (in 1986) and selling them to investors, the market for broker-created T-Receipts evaporated. Each party should act in a polarized fashion to such a. Republicans and Democrats have become more consistent with respect to their ideologies. There is no Standard Form It includes the perils of fire and extended coverage the same level of extension risk. John Jay. Can this binomial distribution be approximated with a normal distribution? 4 weeksB. They do not enjoy a special relationship with the Federal Reserve. I and IVC. any business dealings between legally incorporated organizations. What coverage is not included on the Boatowners Policy? Even though the interest rate is fixed, the holder receives a higher total payment, due to the increased principal amount. less than the rate on an equivalent maturity Treasury BondC. Newer CMOs divide the tranches into PAC tranches and Companion tranches. $4,920.00D. All of the following statements incorrectly refer to the concepts in the Conceptual Framework except a. II and IIID. If the maturity lengthens, then for a given rise in interest rates, the price will fall faster.When interest rates fall, mortgage backed pass through certificates rise in price - at a slower rate than for a regular bond. In which state would one arguably have the best access to legislators? Periodic payments; Immediate annuity C. Periodic payments; Deferred annuity D. Lump sum payment; Immediate annuity An investor can buy a variable annuity contract with a lump sum payment. Agency bonds have little marketability risk; the trading market for U.S. Government and Agency Bonds is the most active in the world. II and IV. If the maturity lengthens, then for a given rise in interest rates, the price will fall faster.When interest rates fall, mortgage backed pass through certificates rise in price - at a slower rate than for a regular bond. b. Which of the following statements is NOT true about the American party system? I and IVC. Thus, the certificate was priced as a 12 year maturity. c. they force potential candidates to take issue positions consistent with their beliefs. A. The following are the benefits from international trade EXCEPT: A) increased domestic employment in the export sector. The __________ pays local governments to help implement state programs. all of the following are true regarding gerrymandering'' exceptdandy nicholls cause of deathdandy nicholls cause of death This is true because when the certificate was purchased, assume that the expected life of the underlying 15 year pool (for example) was 12 years. If interest rates rise, then the expected maturity will lengthen, due to a lower prepayment rate than expected. \text {Unearned revenue} & \cdots\cdots\cdots\cdots\cdots\cdots\cdots & 15,000\\ Personal leadership style often influences how manager exercises legitimate power. Which statements are TRUE regarding Treasury debt instruments?I T-Notes are sold by competitive bidding at auction conducted by the Federal ReserveII T-Notes are sold by negotiated offeringIII T-Notes are issued in book entry form with no physical certificates issuedIV T-Notes are issued in bearer form A. I and IIIB. The national government passes laws allowed by the US Constitution. All of the following are true regarding DIC policies, except: A customer buys 5M of 4 % Treasury Bonds at 101-16. Appraisal is usually mandatory 6 2/3 A government securities dealer quotes a 3 month Treasury Bill at 5.00 Bid - 4.90 Ask. All of the following are true statements about operations-based exercises except: Weegy: All of the following are true statements about operations-based exercises except: They use in-depth discussion as a means to problem solve. The best answer is D. All of the statements are true about CMOs. \text {Dividends} & \cdots\cdots\cdots\cdots\cdots\cdots\cdots & 20,000\\ with Wells Fargo Bank. Expert power is based on the social knowledge, skills and expertise that a leader possesses. Fine arts and antiques are classes of property insured on a: Stated value basis--Fine arts are typically insured on an stated amount basis, whereby the insured and insurer agree, at time of insuring, on an amount of insurance to be paid in the event of a loss. Whenever an individual stops drinking, the BAL will ________________. A government securities dealer quotes a 3 month Treasury Bill at 6.00 Bid - 5.90 Ask. When this interest is received by the certificate holder, both the federal and state government want to recapture this interest income and tax it. CMO tranch holders are subject to prepayment risk - the risk that the expected life of the tranch becomes much shorter due to a decline in interest rates causing homeowners to refinance and prepay their existing mortgages earlier than expected. $.0625 per $1,000C. Furthermore, as interest rates drop, the value of the fixed income stream received from those mortgages increases, so the market value of the security will increase. Often written to provide coverage for earthquake or flood $.025 per $1,000B. How much interest income will the customer receive at each interest payment? pass through certificateC. If the maturity shortens, then for a given fall in interest rates, the price will rise slower. 4.70%, The best answer is A. Right on! When interest rates fall, mortgage backed pass through certificates rise in price - at a slower rate than for a regular bond. III and IV onlyC. Sallie Mae is an agency that is "privatized." {x+3y=73xy=1\left\{\begin{array}{l}{x+3 y=7} \\ {3 x-y=1}\end{array}\right. mortgage real estate investment trust. d. the rights of children are no different from those of adults. II and IV. It provides coverage for direct and indirect loss to covered property as the result of flooding--The National Flood Insurance Program does not provide any indirect financial loss coverage. B Evaluator requirements and assignments are provided in an exercise evaluation plan. Real Estate Investment TrustsB. However, if prepayment rates slow, the TAC absorbs the available cash flow, and goes in arrears for the balance. $5,070.00C. e. states write the laws that dictate party structure. Which U.S. Government security gives an assured stream of interest payments for several years? All of the following statements about the Articles of Confederation are true EXCEPT: A. The spread is: A. CMO tranches are generally AAA rated (or have an implied AAA rating because the tranches are backed by GNMA, FNMA or Freddie Mac pass-through certificates). A $1,000 par Treasury Note is quoted at 100-1 - 100-9. I and IVC. Which statement is FALSE about CMBs? Protger lcran de son smartphone ou de sa tablette est ncessaire lorsquon dsire lutiliser Ingat bahwa 1 putaran = 360. Treasury Receipts pay interest: A. quarterlyB. Only covers the peril of hail Treasury bonds are issued with 30 year maturities and are only callable in the last 5 years. Interest income from securities issued by which of the following agencies is fully taxable?I Federal National Mortgage AssociationII Government National Mortgage AssociationIII Federal Farm Credit Banks Funding CorporationIV Federal Home Loan Mortgage Corporation A. II onlyB. a service sector-based economy The interest portion of a fixed rate mortgage makes larger payments in the early years, and smaller payments in the later years. b. Office of the Comptroller of Currency. A TAC bond is designed to pay a "target" amount of principal each month. The best answer is D. Agency CMOs are created by Ginnie Mae, Fannie Mae, or Freddie Mac, using their own mortgage backed securities (MBSs) as the underlying collateral. II and IV. If not, solve the system by the method of reduction. Which statement is TRUE about floating rate tranches? I, II, III, IV. C They help to unify a fragmented government. Treasury BillsB. In effect, the maturity will shorten and the investor will be returned principal faster, which will have to be reinvested at lower current rates - another example of reinvestment risk.The rate of homeowner defaults has no effect on the principal repayments to be received because the Agency guarantees principal repayment - making Choice B incorrect.Maturities will only extend if market interest rates rise and homeowners stay in their houses (they don't move because new mortgages are more expensive), and principal is repaid more slowly than expected. "5M" means that 5-$1,000 bonds are being purchased (M is Latin for $1,000). Thus, the certificate was priced as a 12 year maturity. c. Identify each of the following places and terms. The best answer is C. A CMO divides the cash flows from underlying mortgage backed pass-through certificates into "tranches." I, II, III, IV. subject to Federal income tax, but exempt from State and Local tax, D. exempt from both Federal and State and Local income tax. Alabama Added 3 hours 12 minutes ago|3/2/2023 12:01:36 AM, Updated 2 hours 56 minutes ago|3/2/2023 12:18:02 AM. Claims are settled on a replacement cost basis are currently being decided by the Supreme Court. Personal Injury Coverage--Personal injury losses are paid using a self-insured retention which acts like a deductible. The statement,Sole proprietors must follow all laws, including federal, state. a. When comparing a CMO Planned Amortization Class (PAC) to a CMO Targeted Amortization Class (TAC), which statements are TRUE?I PACs are similar to TACs in that both provide call protection against increasing prepayment speedsII PACs differ from TACs in that TACs do not offer protection against a decrease in prepayment speedsIII PAC holders have a degree of protection against extension risk that is not provided to TAC holdersIV TAC pricing will be more volatile compared to PAC pricing during periods of rising interest rates A. I onlyB. Which of the following statements is NOT true regarding party machines? new legislation Question 6 2 All of the following statements are true of the government regulation of sole proprietorships EXCEPT O many government regulations apply only to businesses that have a certain number of employees. In the most common form of city government, what functions as the executive branch? Treasury NoteC. Yields on 3 month Treasury bills have declined to 1.84% from 2.21% at the prior week's Treasury auction. 8/32nds = 1/4th = .25% of $1,000 par = $2.50. The national government is responsible for declaring war. Newer CMOs divide the tranches into PAC tranches and Companion tranches. The 13th Amendment to the Constitution established dual federalism. D. State governments rely on national government to provide funds for education. O sole proprietorships must obey employee and consumer regulations. Thus, the certificate was priced as a 12 year maturity. If 30 year T-Bonds have a nominal yield of 4%; and the inflation rate is expected to be 1.25%; then the "real" interest rate is 2.75%. They trade "and interest" - with accrued interest. The focus of the Final Planning Meeting (FPM) includes all of the following except? I, II, III, IV. Haydn's opus 33 string quartets were first performed for Since all of the choices have the same maturity, this is not a factor. Which statement is false regarding the National Flood Insurance Program? $35.00C. Even though no payments of interest are made annually, the discount must be accreted annually and is taxable as interest income earned. The remaining statements are all true - CMOs have a serial structure since they are divided into 15 - 30 maturities known as tranches; CMOs are rated AAA; and CMOs are more accessible to individual investors since they have $1,000 minimum denominations as compared to $25,000 for pass-through certificates. Because CMO issues are divided into tranches, each specific tranche has a more certain repayment date, as compared to owning a mortgage backed pass-through certificate. e. Democrats are more likely than Republicans to believe that government should let each person get ahead on his or her own rather than guaranteeing jobs and standards of living. first mortgage bondD. American parties are more ideologically extreme than many of their European counterparts. 13 weeksC. I, II, III, IV. substantial and long-term shift in party allegiance by individuals and groups, usually resulting in a change in policy direction. D c. The rest of the government dealers are termed "secondary" dealers. Treasury BillB. As interest rates rise, CMO values fall; as interest rates fall, CMO values rise.When interest rates rise, mortgage backed pass through certificates fall in price - at a faster rate than for a regular bond. party machines were strongest in rural areas, Patronage was once important to political parties because, it ensured an army of supporters and workers for elections. II and IIID. I, II, III, IV, The best answer is D. Treasury Receipts are zero coupon Treasury obligations (which are directly backed by the full faith and credit of the U.S. Government) created by broker/dealers who buy Treasury Bonds or Treasury Notes and strip them of their coupons, keeping the corpus of the bond only. A. The discount earned over the life of the bond is the "interest income. (7-8, 6-15, 8-1), Get answer to your question and much more, Trades of all of the following securities settle in Fed Funds EXCEPT:A.U.S. All of the following are responsibilities of members of the community EXCEPT: A(n) __________ is money given to an individual or an organization for a specific purpose. Sallie Mae issues debentures, and uses the funds to make student loans (Sallie Mae stands for Student Loan Marketing Association). See more. Explain. 10 year Double Barreled BondsB. conservatives. Payment of interest and principal on Ginnie Mae pass through certificates is:I backed by the faith and credit of GNMAII not backed by the faith and credit of GNMAIII backed by the faith and credit of the U.S. GovernmentIV not backed by the faith and credit of the U.S. Government A. I and IIIB. Personal injury is not covered. 4.50%C. Policies are written in increments of one million Transcribed Image Text: All of the following statements regarding equality (as a political value) are correct EXCEPT Political equality emphasizes political rights, such as voting The promotion of equality may create limitations on individual freedom Economic equality may be pursued through redistributive programs Equality means the same thing to c. Who is the audience? I and IVC. Search for an answer or ask Weegy. Only interest paying obligations are subject to reinvestment risk - the risk that as interest payments are received, the monies can only be reinvested at lower rates if interest rates have dropped. Which of the following is NOT true regarding issue positions of the major parties? interest income on the Receipts is exempt from Federal income tax if the Receipt is held to maturity, D. Receipts are issued by broker-dealers, who maintain a secondary market in these securities. However, 30 year T-Receipts will trade until they all mature. AAA rated bond. D When the price of a good increased by 6 percent, the quantity demanded of it decreased 3 percent. C. Coverage applies only to scheduled items Treasury securities are the safest investment - they have virtually no credit risk (default risk) and almost no marketability risk. The accretion of the discount over the bond's life represents the interest earned. Notice that the fact that the bond is trading at a discount is irrelevant - the interest payment is based on the stated interest rate times par value. Which of the following statements is FALSE? d. the emergence of third parties, such as the Tea Party movement and FreedomWorks. c. Budgeting is a bookkeeping taskd. If the maturity lengthens, then for a given rise in interest rates, the price will fall faster. 4/32nds = .125% of $1,000 par = $1.25. e. the voters became less important in the nomination process. B. Find the xxx and yyy coordinates of all inflection points. Democrats are more likely than Republicans to believe that government should let each person get ahead on his or her own rather than guaranteeing jobs and standards of living. What are some of the most important export crops in the region? Question: Question 6 2 All of the following statements are true of the government regulation of sole proprietorships EXCEPT O many government regulations apply only to businesses that have a certain number of employees. D 01(ex+1)3exdx\int_0^1\left(e^x+1\right)^3 e^x\ d x A. T-BillB. Because a PAC is relieved of both of these risks, it has the lowest risk and trades at the lowest yield. If each of the schools has 505050 fifth-grade students, how many different groups of 121212 students can he select? later, Wahab withdrew $1,701,250 from W There is minimal market riskB. If interest rates fall, then the expected maturity will shorten, due to a higher prepayment rate than expected. Which statement is TRUE? If Treasury bill yields are rising at auction, then interest rates are rising and debt prices must be falling. any business dealing requiring an operating license. Which statements are TRUE regarding Treasury Bills?I T-Bills are issued in fully registered formII T-Bills are issued in book entry formIII Physical certificates are issuedIV No physical certificates are issued A. I and IIIB. c. $25 per $1,000. All of the following are true statements regarding both Treasury Bills and Treasury Receipts EXCEPT: A. interest is paid at maturityB. a. 5. State governments help the national government in times of crisis. Plain vanillaB. These tranches are given a greater certainty of repayment at the projected date, by allocating earlier than expected repayments to so-called "companion" tranches, before prepayments are applied to these tranches. C. national government All of the following are examples of crime EXCEPT: B. bankruptcy Furthermore, as interest rates drop, the value of the fixed income stream received from those mortgages increases (since these older mortgages are providing a higher than market rate of return), so the market value of the security will increase. Select the appropriate items from the above list. Treasury NotesC. D Which statement is TRUE regarding the tax treatment of the annual adjustment to the principal amount of a Treasury Inflation Protection Security? All of the following are true of a Difference in Conditions Policy, except: This is true because when the certificate was purchased, assume that the expected life of the underlying 15 year pool (for example) was 12 years. Score .9498. If the maturity shortens, then for a given fall in interest rates, the price will rise slower. A newer version of a CMO has a more sophisticated scheme for allocating cash flows. 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