Greater role assumed by government in bailing out financial intermediaries – too big to fail concepts and its effect on adverse section and moral hazard.

Q: Explain the problems of adverse selection and moral hazard caused by asymmetric information. How can…

A: A financial institution is a corporation or person who acts as another go for different parties in…

Q: What are the risk factors in a risk management about the wiredcards Ag's Scandal?

A: The wiredcards  Ag's Scandal was biggest scandal in the fintech industry once was biggest innovator…

Q: Discuss how earnings management is used as a tool to reduce sensitivity to political pressure.

A: Earning management is being associated with the use of discretionary accounting accruals in order to…

Q: Government policies that focus on the aggregate safety and soundness of the financial system are…

A: Answer: The correct answer is option A. Macro-prudential supervision.

Q: What provisions in the Dodd-Frank Wall Street Reform andConsumer Protection Act are designed to…

A: The Dodd Frank Wall Street reform and consumer protection Act is a law for regulating financial…

Q: discuss the harmful effects of illusion of control bias to investors

A: Behavioral finance studies the impact of an investor's psychology on its investment pattern.…

Q: What is your insight about loss of public confidence in Gov't?

A: Distrust towards the government can be the outcome of public experience of governmental inadequacy.…

Q: Which of the following statements is not true about auditing and information risk? O A. Auditing has…

A: Auditing is an inspection of books of accounts by a qualified professional known as auditor by…

Q: Regulatory reviews include an assessment of capital, asset, quality, management, earnings,…

A: Regulatory reviews:Regulatory reviews are a crucial aspect of assessing the financial health and…

Q: Profitability

A: Profitability is the prime purpose of every business. Every corporation tries to maximize its…

Q: Why can an M&A fail? O a. Economies of scale O b. shortcomings of the due diligence process,…

A: In general terms merger and acquisition refers to the consolidation of assets of 2 or more entities.…

Q: Which of the following statements is INCORRECT ? Large investment banks finance most of their…

A: Financial institutions are organizations that facilitate financial transactions, provide financial…

Q: Trend analysis a.

A: Trend analysis is used in the stock market to predict the future prices of the stock by analyzing…

Q: Corporate Finance) How can employee compensation be designed to reduce agency costs?

A: Employee compensation is the amount paid to the employees in exchange for the services provided by…

Q: Discuss the how government can safeguard against financial instability

A: Financial instability could be a condition when problems within markets, institutions, or the…

Q: Lawmakers should demand reform of government accounting standards?

A: Yes, lawmakers should demand reform of government accounting standards. Government accounting…

Q: What informal remedies are available to firmsin financial distress? In answering this…

A: The informal remedies available to the firms in financial distress are discussed as follows:…

Q: Which of the following best describes the process of removing or reducing of governmental controls…

A: The government imposes control on the financial industry in order to ensure fair practices in the…

Q: Market failures can be attributed to the inability of the both the public and private sectors to do…

A: In the given question we need to tell that whether the given statement is true or false. Statement:-…

Q: The whole essence of financial institutions is the prevention of institutional failures? Explain

A: Financial institutions are those companies engaged in activities that result in collection and…

Q: Is information a public good? What market failures exist that justify government intervention?

A: Public good  The utilization of things is available for the public that can be utilized without…

Q: Describe moral hazard in the context of information asymmetries and how it can lead to lower levels…

A: A bank is a type of financial institution that takes deposits and lends money. Wealth management,…

Q: The "Discipline of the Market" means that in a competitive market customers and investors deal with…

A: The question is based on the concept of working of market in perfect competition. A financial…

Q: Which is not correct about necessity of Financial Institutions? Cost reduction such as information…

A: Financial institutions are very important part of the economy in modern times and without them…

Q: Question 6: How can a firm assess risk and how can internal controls systems help minimize the…

A: Risk The loss that may occur when an investment is made is known as risk. Risk includes political…

Q: In the case of the 2008 Enron Scandal: How effective do you think the response to the Enron crisis…

A: The Enron scandal of 2008 was one of the most significant financial scandals of the 21st century. It…

Q: Anticipate TWO (2) drawbacks from the adverse selection on financial safety nets.

A: Financial Safety Nets- A financial safety net is not one savings account or an insurance guideline.…

Q: Explain the allegations of “rigging the market” in the recent LIBOR scandal and in that light…

A: The LIBOR scandal was one of the most recent scandals that shook the financial markets. As the name…

Q: In the case of the 2008 Enron Scandal: What more could be done to further strengthen the regulatory…

A: The 2008 Enron scandal was a defining moment for corporate regulation, as it revealed the extent of…

Q: risks that an organisation can be exposed to when undertaking a new investment

A: Introduction: A company would enter into various types of investments and these investments would…

Q: Recently, governmental investment policies have been sharply criticized because of some significant…

A: The nature of problem being criticized is the " objectivity"

Q: (b) "Financial innovation sometimes brings great rewards. It can make the financial system more…

A: RELATION BETWEEN INNOVATION AND MANAGING RISK Innovation is the lifeblood of any company, but…

Q: Discuss three major financial risks that companies face today. regulatory instability, public…

A: Financial risks refer to loss of funds due to a particular project, investment, or business…

Q: Explain why the highest probable key risk drivers in the Single Supervisory Mechanism risk map is:…

A: The current pandemic crisis challenges the banking system along known and unknown tracks. While the…

Q: To ensure market dominance by strong financial institutions. b.

A: Any regulation is made to make rational treatment of all the players, so a is incorrect   a. To…

Q: FinTech firms are facing increased regulatory oversight. A risk event at a FinTech firm can result…

A: The danger of losing money on an investment or business endeavor is referred to as financial risk.…

Q: Discuss weaknesses in the public sector accounting and finance in the usage of resources that might…

A: Accounting in the public sector is a distinct specialty with its own set of qualifications. The…

Q: 15 Mudarabah and Musharakah fall under profit and loss sharing transactions and have other risks…

A: Mudarabah and Musharakah fall under profit and loss sharing transactions and have other risks…

Q: Explain monetary and fiscal measures that should be implemented by the government to cool down an…

A: Monetary policy means the management of the money supply and interest rates by central banks. To…

Q: Since risks, such as credit, liquidity, default, technological, and legal risks, among others, may…

A: 'Financial market stability' refers to a state in which market transactions are not disrupted…

Q: dis finance

A: When it comes to risk management, systematic risk is an essential component that investigates the…

Q: stor who wish to take high risk would invest his money in Risk is interrelated to returns Debt…

A: Investor is defined as the person or individual who assign the capital with the future expectation…

Q: What informal remedies are available to firmsin financial distress? In answering this…

A: An informal restructuring is typically the "lowest drastic" option for a financially troubled…

Corporate Ethics

Ethics refers to the moral values and principles that guide an individual. Corporate ethics refers to the moral behavior of a company and its employees while conducting business. Business ethics is another name for corporate ethics. Business ethics reflects the purpose of doing the business. Business ethics is the distinction between what is right and wrong in the workplace and the selection of the right set of actions. Every corporate entity follows business ethics to a large extent in order to survive and compete successfully in the market. Corporate entities that strictly adhere to business ethics gain the trust of their stakeholders and thus gain more customers. An organization follows compliance, i.e., following certain business policies, rules, procedures, and practices to deal with the problem arising from the business environment. Business ethics also ensures that they meet compliance requirements as it was connected with the activities of an organization.