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NEW QUESTION 46
Derivatives that are not hedging instruments are always classified in which category of financial instruments?
- A. Available-for-sale financial assets.
- B. Held-to-maturity investments.
- C. Financial assets or liabilities held for trading
- D. Loans and receivables.
Financial assets or liabilities at fair value through profit or loss include those held for trading. Regardless of intent, a financial asset is held for trading if it is included in a portfolio with a recent pattern of short-term profit taking. Derivatives also are deemed to be held for trading unless they are designated and effective as hedging instruments.
NEW QUESTION 47
Which of the following statements about matrix organizations is false?
- A. Matrix organizations minimize costs and simplify communication.
- B. In a matrix organization, conflict between functional and product managers may arise.
- C. Matrix organizations offer the advantage of greater flexibility.
- D. In a matrix organization, staff under dual command is more likely to suffer stress at work.
NEW QUESTION 48
Questions about which of the following can legally be asked in recruiting interviews?
- A. Kind of military discharge.
- B. Criminal record but only for security clearance purposes)
- C. Age.
- D. Number of children.
In a recruiting interview, one may not ask about the applicant's marital status, number of children, height and weight, criminal record except for the purpose of giving a security clearance), kind of military discharge, or age.
NEW QUESTION 49
If the bank uses the rnaxirna criterion for selecting the location of the branch, it will select:
- A. L3
- B. L1
- C. L4
- D. L2
Under the maximax criterion, the decision maker selects the choice that maximizes the maximum profit. The maximum profits for the five locations are
A bank plans to open a branch in one of five locations labeled L1, L2, L3, L4, L5). Demand for bank services may be high, medium, or low at each of these locations. Profits for each location-demand combination are presented in the payoff matrix.
NEW QUESTION 50
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