Week 6 Quiz
Question :
What factors are used in determining a person's FICO score?
Student Answer:
Outstanding debt
Length of credit history
past payment history
all of the above
Points Received:
2 of 2 Comments:
Question 2.
Question :
What new debt instruments compete for funds with government bonds, corporate bonds, and stocks that are low risk securities that have higher yields than comparable government bonds and attract funds from around the world?
Student Answer:
Securitized mortgages
Private pass throughs
Mortgage backed mutual funds
Subprime mortgages
Points Received:
0 of 2 Comments:
Question 3.
Question :
Which of the following are important ways in which mortgage markets differ from the stock and bond markets?
Student Answer:
Because mortgages are made for different amounts and maturities, developing a secondary market has been more difficult.
Most mortgages are secured by real estate, whereas the majority of capital market borrowing is unsecured.
The usual borrowers in capital markets are government entities and business, whereas the usual borrowers in the mortgage markets are individuals.
all of the above
Points Received:
2 of 2 Comments:
Question 4.
Question :
The interest parity condition:
Student Answer:
can be used to explain how the exchange rate is determined.
simply means that the expected returns on both dollar assets and foreign assets.
both of the above.
none of the above.
Points Received:
2 of 2 Comments:
Question 5.
Question :
The starting point for understanding how exchange rates are determined is a simple idea called _______, which states that if two countries produce an identical good, the price of the good should be the same throughout the world no matter which country produces it.
Student Answer:
What factors are used in determining a person's FICO score?
Student Answer:
Outstanding debt
Length of credit history
past payment history
all of the above
Points Received:
2 of 2 Comments:
Question 2.
Question :
What new debt instruments compete for funds with government bonds, corporate bonds, and stocks that are low risk securities that have higher yields than comparable government bonds and attract funds from around the world?
Student Answer:
Securitized mortgages
Private pass throughs
Mortgage backed mutual funds
Subprime mortgages
Points Received:
0 of 2 Comments:
Question 3.
Question :
Which of the following are important ways in which mortgage markets differ from the stock and bond markets?
Student Answer:
Because mortgages are made for different amounts and maturities, developing a secondary market has been more difficult.
Most mortgages are secured by real estate, whereas the majority of capital market borrowing is unsecured.
The usual borrowers in capital markets are government entities and business, whereas the usual borrowers in the mortgage markets are individuals.
all of the above
Points Received:
2 of 2 Comments:
Question 4.
Question :
The interest parity condition:
Student Answer:
can be used to explain how the exchange rate is determined.
simply means that the expected returns on both dollar assets and foreign assets.
both of the above.
none of the above.
Points Received:
2 of 2 Comments:
Question 5.
Question :
The starting point for understanding how exchange rates are determined is a simple idea called _______, which states that if two countries produce an identical good, the price of the good should be the same throughout the world no matter which country produces it.
Student Answer: