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NEW QUESTION: 1
In hedging transactions, derivatives typically have the following advantages over cash instruments:
I. Lower credit risk
II. Lower funding requirements
III. Lower dealing costs
IV.
Lower capital charges
A. II, IV
B. I, II
C. I, II, III, IV
D. I, III
Answer: C
NEW QUESTION: 2
A true-false test consists of six questions. If you guess the answer to each question, what is the probability of getting all six questions correct?
A. 0
B. 0.03125
C. 0.0156
D. None of these answers
E. 0.06250
Answer: C
Explanation:
Explanation/Reference:
Explanation:
This is binomial distribution with p = 0.5, q = 0.5, n = 6, r = 6. Therefore 6!(0.5