What Does Moody's Analytics Portfolio Manager Model Use to Identify

question 64

Multiple Choice

What does Moody's Analytics Portfolio Manager Model use to identify the overall risk of the portfolio?

• A)Maximum loss as a percent of capital.
• B)Historical loan loss ratios.
• C)Default probability on each loan in a portfolio.
• D)Market value of an asset and the volatility of that asset's price.
• E)Mean of the value of loans in a portfolio.

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Definitions:

Keiretsu

A closely linked alliance of businesses in Japan, often including manufacturers and suppliers, which cooperate to ensure mutual success.

Net Profit Margin

A financial metric that calculates the percentage of net profits earned with respect to sales revenue, indicating the efficiency of a company in converting sales into actual profits.

Supply-Chain Efficiencies

The optimization of activities in the supply chain to minimize costs and waste while maximizing speed and quality.

Increase In Profit

The growth in net earnings resulting from operations, often driven by increased sales, cost reduction, or improved productivity.