Please kindly answer the 2 following questions: 7) Which of the following is the
ID: 2613453 • Letter: P
Question
Please kindly answer the 2 following questions:
7)
Which of the following is the correct interpretation of "Character" in loan pricing?
It reflects a borrower's integrity, credit history, and past business relationship with the bank.
Borrower's projected income or cash flow generated from a job
Borrower's balance sheet or residual wealth, such as stocks and land ownership
Quality of the assets that can be taken or liquidated if a loan is not repaid
8)
Which one of the following is NOT a primary service offered by investment banks?
Bring new securities to market
Trading and brokerage
Private placement
Private equity
A.It reflects a borrower's integrity, credit history, and past business relationship with the bank.
B.Borrower's projected income or cash flow generated from a job
C.Borrower's balance sheet or residual wealth, such as stocks and land ownership
D.Quality of the assets that can be taken or liquidated if a loan is not repaid
Explanation / Answer
7 Character" in loan pricing reflects a borrower's integrity, credit history, and past business relationship with the bank all other are the further steps in loan approval.
8 Private equity is not the Primary services offerd by invstment banks , They are financial intermediaries, the critical link between users and providers of capital.since private equity is that which is not publicly traded on a stock exchange.