Due to Criticisms of Rating Agencies Following the Default of Many

question 38

True/False

Due to criticisms of rating agencies following the default of many subprime products,the SEC prohibited credit rating agencies from structuring the same products that they rate.

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Definitions:

Distribution

Describes the way in which data points are spread out across different values in a dataset.

Frequency Distribution

A summary of how often each value in a set of data occurs, often displayed in a table or graph.

Class Interval

The range of values into which data are grouped for frequency distribution purposes, often used in histograms.

Histogram

A graphical representation of data using bars of different heights to show the frequency of data in successive intervals.