Question

Which of the following is not a debt security? Loans receivable All of these are debt...

Which of the following is not a debt security?

Loans receivable
All of these are debt securities
Convertible bonds
Commercial paper
Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Loans Receivables or trade accounts receivables are not debt security because they do not match the definition of security

The debt securities should satisfy the following conditions:

Held to maturity: Debt securities that the company has the positive intent and ability to hold to maturity.

Trading: Debt securities bought and held primarily for sale in the near term to generate income on short-term price differences

Available-for-sale: Debt securities not classified as held-to-maturity or trading securities.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
1) Overnight loans issued by the Federal Reserve to commercial banks are known as A. Negotiable...
1) Overnight loans issued by the Federal Reserve to commercial banks are known as A. Negotiable CD's B. Federal funds C. Repurchase agreements D. Commercial paper 2) Which type of security has interest payments that are generally exempt from federal income taxes? A. Mortgage-backed securities B. Treasury bonds C. Municipal bonds D. Commercial loans 3) What do the authors mean when they state that financial intermediaries can achieve economies of scale with respect to transaction costs? A. Intermediaries can spread...
30. Collateral would be needed in which of the following? a. trade credit b. secured loans...
30. Collateral would be needed in which of the following? a. trade credit b. secured loans c. unsecured loans d. line of credit e. commercial paper
12. Consider a portfolio formed with debt security and equity security. Which of the following portfolio...
12. Consider a portfolio formed with debt security and equity security. Which of the following portfolio strategies would you follow when weight of debt security is less than zero and weight of equity security greater than one? Select one: a. Short sell equity and invest the proceed in debt b. Borrow more money and invest in equity c. Borrow at risk-free rate and invest in stock portfolio d. Short sell debt security and invest the proceed in equity security
Determine whether each security listed below would be sold in an equity market or a debt...
Determine whether each security listed below would be sold in an equity market or a debt market. (1=Equity Market, 2=Debt Market) ________ Shares of Ford stock ________ Corporate bond with 30 years to maturity ________ Commercial paper issued by Ford with 90 days to maturity ________ U.S. Treasury bond with 30 days to maturity
QUESTION 1 I. DEBT INSTRUMENTS GROUP A Municipal - General Obligation bonds Municipal – Special Revenue...
QUESTION 1 I. DEBT INSTRUMENTS GROUP A Municipal - General Obligation bonds Municipal – Special Revenue bonds Credit Card Asset Backed Securities Corporate Lines of Credit – revolving loans Residential Mortgage Backed Securities Investment Grade Bonds – unsecured GROUP B Leveraged Loans Non-Investment Grade Bonds – unsecured Secured Bonds – Equipment Trust Certificates - airlines 1. Select four (4) of the security types above, two (2) from Group A, two (2) from group B. For each security type, explain how...
Ie=existing debt * its rate Id= new debt * its rate +Ie Nd= existing shares of...
Ie=existing debt * its rate Id= new debt * its rate +Ie Nd= existing shares of common stock Ne=expansion/net price + Nd 1. Using the following information, calculate Id: Format your answer in millions to the hundredths place. 14,516,000 would be entered as 14.52 The firm needs to raise $14m which it can do with debt at 6.50% or stock at $179 per share. Existing securities: Security Amount Rate or Dividend Bonds $373m 5.05%. Stock 682m $0.78 per share a....
On a balance sheet for a bank ( where loans are assets /receivable) what adjusting entry...
On a balance sheet for a bank ( where loans are assets /receivable) what adjusting entry comes from a commercial real estate loan in foreclosed property where the bank takes the title.
A bank president claims that the median of debt-to-equity ratio of commercial loans provided is less...
A bank president claims that the median of debt-to-equity ratio of commercial loans provided is less than 1.5. A random sample of 15 commercial loans is selected with the following values for this ratio: 1.31                 1.33                 1.22 1.78                 1.45                 1.32 1.46                 1.41                 1.19 1.05                 1.29                 1.11 1.37                 1.21                 1.65             Use a Sign Test at the 0.05 level to test this claim. Do this by hand and not using Excel. (15 points)
10. All of the following are potentially dilutive in computing diluted EPS except: A)     Employee...
10. All of the following are potentially dilutive in computing diluted EPS except: A)     Employee stock options B)     Convertible preferred stock C)     Convertible bonds D)    Warrants E)     All of the above are dilutive securities
which of the following could hurt the liquidity position of a financials institution? a) selling loans...
which of the following could hurt the liquidity position of a financials institution? a) selling loans held on the balance sheet in the secondary market b) replacing treasuries with A-rated corporate bonds c) issuing additional equity d) issuing subordinated debt
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT