Banks Need to Be Able to Compare the Firm They

question 125

Multiple Choice

Banks need to be able to compare the firm they are examining to their industry.One company that provides information to banks about the industries their customers are in is:

• A)Standard and Poors
• B)Moody's
• C)Dun and Bradstreet
• D)Morgan Stanley
• E)None of the options is correct.

---

Definitions:

Futures Contract

A standardized legal agreement to buy or sell something at a predetermined price at a specified time in the future, often used for commodities or financial instruments.

Local Currency Returns

The performance of an investment denominated in the currency of the place where the investment is made, excluding the effect of foreign exchange rate fluctuations.

Correlation

A statistical measure that represents the extent to which two or more variables fluctuate in relation to each other.

S&P 500

An index tracking the performance of 500 major U.S. companies listed on stock exchanges.