The Goal of Securitization Is To

question 5

Multiple Choice

The goal of securitization is to:

• A) lock a constant rate of return for up to 10 years
• B) ensure one financial institution hold all the risk
• C) spread risk by buying different classes of assets
• D) sell paper to Fannie Mae and/or Freddie Mac
• E) earn high returns for investors

Recognize the importance and challenge of implementing planned changes in strategy and culture.

Acknowledge the essential role of employees and staff in initiating cultural change.

Understand the significance of optimism among managers and employees towards cultural change.

Learn about the utility of survey feedback in organizational diagnosis and change.

---

Definitions:

Work in Process Inventory

Goods that are partially completed in manufacturing but not yet ready for sale, reflecting a stage between raw materials and finished goods.

Supplies Inventory

Items held in stock by a business, such as office supplies or maintenance materials, not directly used in manufacturing but necessary for operations.

Factory Overhead

All indirect costs associated with manufacturing, excluding direct materials and direct labor.

Direct Labor Hours

The total hours of labor spent by workers who are directly involved in the manufacturing process of a product.