Interest Rate Swaps Can Guarantee That

question 88

Multiple Choice

Interest rate swaps can guarantee that

• A)inflows more closely match outflows.
• B)participants never hold fixed-rate instruments.
• C)participants never hold variable-rate instruments.
• D)all intermediaries will hold both fixed-rate and variable-rate assets.

Understand various needs theories and their applications to job satisfaction and motivation.

Comprehend the principles of Herzberg's two-factor theory and recognize motivator factors.

Identify primary mechanisms used by managers to meet employees' lower and higher-level needs.

Explain the role of fairness and equity in motivation according to Equity Theory.

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Definitions:

Investment Account

A financial account held at a financial institution that holds securities, cash, and other assets for investment purposes.

Goodwill

An asset without physical form that is generated when one company buys another at a price greater than the fair value of the acquired company's net assets that can be identified.

Equity Method

The equity method is an accounting technique used to record investments in associate companies, where the investment is initially recognized and subsequently adjusted for the investor's share of the net profits or losses of the investee.

Intra-entity Transactions

Financial transactions that occur within the same legal entity, or between divisions within a single company.