Which of the Basel Accords introduced three pillars with a focus on the banking book? Select one: a. Basel Accord. O b. Basel II. c. Basel III.
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- Banks are regulated by e.g. Basel-II or -III-rules.a) Please name the reason why the Basel accords bear the name of the Swiss town Basel. b) Please explain one aspect/ element of Basel II-equity rules.(reason(s) for rule; measurement/ figure; weakness; enhancement by Basel-III-regulation) Banks have to ensure that they are able to meeting all clients’ withdrawals by “holdingliquidity”. c) Please explain the regulation of liquidity by Basel rules.(Basel-II liquidity regulation, event for strict(er) rules, enhancement by Basel-III-rules,measurement of liquidity situation of banks, effects on banks’ profit situation).Explain six characteristics of the foreign exchange market as revealed by the Bank forInternational Settlements (BIS) surveys58. According to the Preface to International Financial Reporting Standards, which of the following are objectives of the IASB? I. To harmonize financial reporting between IFRS and US GAAP and EuropeanII. To work actively with national standard settersPage 12 of 17III. To promote the use and strict application of financial accounting standards A. I and II C. II and IIIB. I and III D. I, II and III
- Question 1 (a) Compare and contrast the letters of credit and performance bonds. b) Discuss the following documents as used in international procurement and clearly show how they are used for financing international transactions bill of lading insurance policy Bills of exchange, Letters of credit Promissory notes Performance bonds c) Discuss the doctrine of strict compliance as applied to letters of credit and show how it is different from the concept of autonomy of letters of credit d) Compare and contrast the various modes of payment8. In common law countries accounting focuses on economic substance and the standards and procedures are incorporated into national lawsSelect one:TrueFalseShould the Federal Reserve take the decision to introduce its own digital currency into circulation, which of the following policy instruments will it make use of? a) Open Market Policy b) Credit ceilings c) Exchange control regulations d) Deposit rate control
- Which one of the following terms is used to describe international bonds issued in a single country and generally denominated in that country's currency? A. Eurobonds B. American Depositary Receipts C. Foreign bonds D. Swaps E. GiltsEurobonds are best defined as international bonds issued in _____ and denominated in ____. A. a single country; multiple currencies B. a single country; a single currency C. multiple countries; multiple currencies D. multiple countries; a single currency E. Euroland; eurosWhat is the intention of the Financial Market Authority creating Memorandum of Understanding agreements with other agencies within New Zealand?
- Choose the correct. What is the so-called Norwalk Agreement?a. An agreement between the FASB and SEC to allow foreign companies to use IFRS in their filing of financial statements with the SEC.b. An agreement between the U.S. FASB and the U.K. Accounting Standards Board to converge their respective accounting standards as soon as practicable.c. An agreement between the SEC chairman and the EU Internal Market commissioner to allow EU companies to list securities in the United States without providing a U.S. GAAP reconciliation.d. An agreement between the FASB and the IASB to make their existing standards compatible as soon as practicable and to work together to ensure compatibility in the future.Discuss the need to include the leverage ratio and off-balance sheet assets in Basel III
