Consider the Following Situation: an FI Holds 40 Per Cent

question 7

Multiple Choice

Consider the following situation: an FI holds 40 per cent of its assets in liquid securities with a fair market value of $100 and the remaining 60 per cent of its assets in housing loans with a fair market value of $500.Further assume that in case of immediate liquidation, the FI would receive $90 for its liquid securities and $450 for its housing loans.What is the FI's liquidity index (round to two decimals) ?

• A)0.19
• B)0.54
• C)0.67
• D)0.90

---

Definitions:

Need-Satisfaction Presentation

A flexible, interactive type of presentation in which a prospect’s needs are thoroughly discussed.

Need-Awareness Phase

The initial stage in the buying process where a potential buyer becomes aware of a need or problem that requires a solution.

Sales Presentation Methods

Diverse techniques and strategies used by salespeople to showcase and sell their products or services effectively to clients.

Type of Product

Categories or classifications of goods or services based on characteristics, uses, or other relevant factors.