Chapter eight
• • • • • • • • •
Share capital Types of shares Class rights Issuing shares Capital maintenance Distributions Debentures Fixed charges and floating charges Priority and registration of charges
ACCA F4
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5. Issuing shares
Authority of directors to allot shares by articles. by ordinary resolution Authority must state maximum number of shares to be allotted expiry date for the authority ( maximum five years)
ACCA F4
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6 Capital maintenance
Rules on capital maintenance capital of a limited company is regarded as guarantee or a buffer fund for creditors once capital has been raised it must be maintained, which includes share capital, share premium account, and capital redemption reserve. to prevent the company reducing its capital by returning to its members a limited company can not purchase its own shares, with exceptions give financial assistance for the purchase of company’s own shares Make distribution other than distributable profits
ordinary shares preference shares redeemable shares deferred / founders’ shares non-voting shares
ACCA F4
5
Preference shares dividends cumulative fixed dividend paid in priority to other dividends. prior return of capital, but no claim on surplus on winding up none or restricted voting rights
ACCA F4
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Issue at discount Nominal value of the share represents the extent of a shareholder’s potential liability Gerneral rule: shares cannot be issued at a discount on their nominal value S580, CA06. If breached, the issuance is till valid but the allotted must pay up the discount plus interest( case on p204) (debentures are different)
ACCA F4
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Paying for shares normally in cash private companies.
could be in kind(non-cash )
the court may intervene if “ illusory, past or inadequate “ public company Subscribers to the memo must pay cash ( couldn’t be in the form of work or services) a public company must not allot a share until at least 25% of the nominal value and the whole of any premium is paid up. non-cash consideration must be independently valued, reported, and received within five years
ACCA F4
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7. Distribution of profit
Rules a company may only make a distribution ( pay dividends) out of profits available, not capital. Profits available for dividend profit accumulated (overall profit/ loss, not just one year) realized (not revaluation reserve)
ACCA F4
17
Rules for public company a public company may not pay a dividend unless its net assets exceed the aggregate amount of call-up share capital and undistributable reserves. undistributable reserves share premium account capital redemption reserve unrealized profits others
ACCA F4
1
1. Share capital
Definition of a share a share is the interest of the shareholder in the company, measured by a sum of money, consisting of rights and obligations. share capital: one of main resources of finance, which is divided into shares that defines the shareholder’s proportionate interest in a company.
ACCA F4
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4. Terminology
terminology of share capital authorized share capital the amount of share capital authorized by memo to issue. issued share capital: actually issued or sold by the company paid up capital (public, at least 25%) called up capital uncalled capital
ACCA F4
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shareholders, members of the corporation, have the right to receive dividends vote at general meetings receive surplus assets on a liquidation or reduction of capital
ACCA F4
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2. Types of shares
classes are distinguished by rights to
voting rights dividends assets ( winding up or reduction of capital)
ACCA F4
4
types of shares
ACCA F4
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bonus issues issue fully paid shares to existing shareholders in proportion to their shareholdings by using of company’s reserves. no new fund raised rights issues new shares offered to existing shareholders in proportion to their shareholdings. raise new funds usually offered at discount to current market value but no to nominal value.
ACCA F4
7
minority’s protection: S633, CA 06 15 % discontent of the nominal value of that class may ask the court to cancel the variation the court will decide if unfairly prejudicial. the court will only intervene in the case of right change( case on p201)
ACCA F4
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Issue of shares at a premium any premium to be credited to a share premium account, only available for writing off the expenses of the issue writing off commission paid ton for issuance of shares issuing bonus sharesFra bibliotekACCA F4
8 politeness
Put the following responses in each dialogues in increasing order of politeness.(Approbation Maxim)
1. Mary: Well, I‘ve done it. I‘ve dyed my hair blonde. Ed: a) you look beautiful. b) you look awful. c) you look amazing.
b)—c)—a)
2. Tom: Do you like the wine I picked out? Mary: a) it‘s Italian, isn‘t b) yes, I do. c) not really.
c)—a)—b)
it‘s Italian, isn‘t it? Implies a less than whole-hearted endorsement of the wine by failing to be maximally informative, ‗answering a question with another question‘, and by failing to be maximally relevant since the topic was the wine‘s taste not its country of origin.
B: No, it was very uninteresting.
2. A: English is a difficult language to learn. B: True, but the grammar is quite easy.
8.3 Brown & Levinson‘s Face Theory
Unit 8 Accounting
What did current accounting practices start with?
•
Is it true that accounting at any point in time and place can represent the level of civilization then and there? Give your reasons.
What has the rise of the accounting profession benefited since the beginning of the 19th century?
•
V Background
• Accountants invented writing, developed money and banking, innovated the double entry bookkeeping system that fueled the Italian Renaissance, were needed by Industrial Revolution inventors and entrepreneurs for survival, helped develop the capital markets necessary for big business so essential for capitalism, turned into a profession that brought credibility for complex business practices that sparked the economic boom of the 20th century, and are central to the information revolution that is now transforming the global economy.
《哈利波特与魔法石》第8章《魔药课老师》中英文对照学习版
中英文对照学习版Harry Potter and Philosopher’s Stone《哈利˙波特与魔法石》CHAPTER EightThe Potions Master第八章魔药课老师‘There, l ook.’“就在那边，快看。
”‘Where?’“哪边？”‘Next to the tall kid with the red hair.’“在那个高个红头发男生旁边。
”‘Wearing the glasses?’“那个戴眼镜的？”‘Did you see his face?’“你看见他的脸了吗？”‘Did you see his scar?’“看见他那道伤疤了吗？”Whispers foll owed Harry from the moment he l eft his d ormitory next day. Peopl e queuing outsid e classrooms stood on tiptoe to get a l ook at him, or d oubl ed back to pass him in the corrid ors again, staring. Harry wished they woul dn't, because he was trying to concentrate on finding his way to classes.第二天，哈利走出寝室，这些窃窃私语就一直紧追着他。
学生们在教室外边排着长队，个个踮着脚尖，想一睹他的真面目。
在走廊里，他们从他身边走过去，又折回来，死死地盯着他看。
哈利希望他们不要这样，因为他要集中注意力寻找去教室的路。
There were a hundred and forty-two staircases at Hogwarts: wid e, sweeping ones; narrow, rickety ones; some that l ed somewhere different on a Friday; some with a vanishing step halfway up that you had to remember to jump. Then there were d oors that woul dn't open unl ess you asked politely, or tickl ed them in exactly the right place, and d oors that weren't really d oors at all, but solid walls just pretending. It was also very hard to remember where anything was, because it all seemed to move around a l ot. The peopl e in the portraits kept going to visit each other and Harry was sure the coats of armour coul d walk.霍格沃茨的楼梯总共有一百四十二处之多。
2019-导游英语Chapter 8 Emergency Handling-文档资料
the way to the hotel. • 行李不可能遗失在机场或是来酒店的路上。 • Lost and Found Desk 失物招领处
Situation I —— Notes
• Could you describe some features of your baggage?
• 请描述一下你的行李的外观特点。 • It’s a medium-sized, black suitcase with my name
tag attached. • 一个中等大小黑色的行李箱，上面有我的姓名标
• 4. If the baggage eventually cannot be found, the manager of the travel service (if necessary), and the tour guide should explain to the tourist what may have happened, offer apologies and help him or her to claim for compensation in accordance with the international practice.
n. 标签
• feature
n. 特征，特色；容貌，相貌
• medium-sized adj. 中等大小的，中号的
• attached
adj. 附加的
Situation I —— Notes
• I’m sorry to disturb you now, but I can’t find my baggage.
英语演讲选修课chapter 8 Special
“Children, we have a very important guest with us today. He is the number one policeman in our city, the head of all the other police officers. Besides knowing a lot about crime right here at home, the police commissioner has also spent time working with Interpol – a special group of police officers who deal with crimes around the world. Today he is going to talk about how all of us can help to prevent crime. Let’s give a big round of applause and listen carefully to police commissioner Robert Washington.”
Focus on the accomplishments of the recipient
The audience doesn’t want a detailed biography of the recipient. You just need to highlight his achievements. The speech of presentation will be very brief, rarely more than five minutes long.
1. Speech of introduction
chapter8 Language in Use
Semantics and Pragmatics
Semantics: what language means
(sentence meaning)
Pragmatics: what people mean
(speaker’s meaning) （utterance meaning）
Similarity
• The utterance which performs an act is called a performative (行事话语)。
•I name the ship the Queen Elizabeth. •I declare the meeting open. •I resign. •I pronounce you husband and wife.
• Though performatives cannot be true or false, they can be felicitous or infelicitous.
Felicity Conditions
• Felicity Conditions (合适条件) are conditions needed for success or achievement of a performative.
Pragmatics and semantics are both linguistic study of meaning
Difference
• Semantic meaning: the more constant, inherent side of meaning • Pragmatic meaning: the more indeterminate, the more closely related to context • Pragmatic = meaning - semantics
柳林风声第八篇读后感英文版三十字左右
柳林风声第八篇读后感英文版三十字左右全文共10篇示例，供读者参考篇1The eighth article in the "Sound of the Wind in Liulin" book made me feel very excited and inspired. In this article, the story continues with the adventures of the main characters as they face new challenges and obstacles. The characters show bravery, friendship, and perseverance as they work together to overcome these challenges.One of the things that I really liked about this article was how the characters never gave up, even when things seemed impossible. They always found a way to work together and come up with a plan to solve their problems. This taught me that no matter how difficult things may seem, with determination and teamwork, anything is possible.Another part of the article that I enjoyed was the strong bond of friendship between the characters. They supported each other, cheered each other on, and celebrated each other's successes. This reminded me of the importance of having friends who are there for you during both good and bad times.Overall, the eighth article in the "Sound of the Wind in Liulin" series was a great read. It taught me valuable lessons about perseverance, teamwork, and friendship. I can't wait to see what adventures await the characters in the next article!篇2Liu Lin, a small town surrounded by lush green trees and chirping birds, is a place full of wonders. In the eighth volume of the series "The Sound of the Wind in Liu Lin," the adventures continue with new mysteries to solve and friendships to be made.In this volume, the main characters, Timmy and Lily, team up with their friends to explore a mysterious cave that appeared overnight in the town square. As they venture into the depths of the cave, they uncover hidden treasures and ancient artifacts that reveal the town's rich history.What I love most about this book is the sense of adventure and camaraderie among the characters. Timmy, Lily, and their friends work together to overcome obstacles and solve puzzles, showing the power of teamwork and friendship. The story also teaches important lessons about perseverance, curiosity, and respect for nature.One of my favorite parts of the book is when the characters encounter a family of foxes living in the cave. The foxes teach them the importance of living harmoniously with nature and respecting the creatures that call the cave home. It's a heartwarming reminder to always be kind and empathetic towards all living beings.Overall, "The Sound of the Wind in Liu Lin: Volume Eight" is a delightful read that combines mystery, adventure, and heartwarming moments. It's a story that will capture your imagination and inspire you to explore the world around you with an open mind and a kind heart. I can't wait to see what other adventures await in future volumes of the series!篇3After reading the eighth episode of the Liuming Fengsheng, I feel so excited and thrilled! The story is so interesting and full of surprises.In this episode, the main character Xiao Ming finally meets the mysterious old man in the forest. The old man tells Xiao Ming about the legend of the ancient temple hidden deep in the woods. He also reveals that only the chosen one can enter the temple and unlock its secrets.I was on the edge of my seat as Xiao Ming bravely enters the temple and faces a series of challenges. He must solve riddles, overcome obstacles, and prove his courage and intelligence. I was rooting for him the whole time, hoping that he would succeed in his quest.As Xiao Ming explores the temple, he discovers ancient artifacts and learns about the history of the land. It's like areal-life adventure movie, with twists and turns that kept me guessing until the very end.The eighth episode of Liuming Fengsheng is not only entertaining but also teaches important lessons about bravery, friendship, and perseverance. It reminds me that we should never give up, no matter how difficult the journey may seem.I can't wait to read the next episode and find out what happens next in Xiao Ming's adventures. The Liuming Fengsheng series is a must-read for anyone who loves action, mystery, and a good old-fashioned adventure!篇4Title: My Thoughts on "The Wind in the Willows: Part Eight"Today, I read the eighth part of "The Wind in the Willows" called "The Windy Man." It was such an exciting chapter! I just couldn't put the book down. I wanted to share my thoughts about this amazing story.In this chapter, the animals were all afraid of the "Windy Man." They thought he was going to blow their homes away with his strong wind. But then, they found out that the "Windy Man" was actually a scarecrow put up by the humans to keep the birds away from their crops.I was so relieved when I found out the truth about the "Windy Man." I was really scared for the animals, especially when badger and mole went to confront him. It made me realize that things are not always what they seem, and it's important to look deeper before jumping to conclusions.I also loved how the animals worked together to help each other out. Rat, Badger, Mole, and Toad all showed great teamwork and friendship in this chapter. It was heartwarming to see them support each other in times of need.Overall, I think this chapter taught me that it's important to be brave and to face our fears. Just like the animals in the story, we should always stick together and help each other out. I can'twait to continue reading "The Wind in the Willows" and see what adventures lie ahead for Rat, Badger, Mole, and Toad.篇5Title: My Thoughts on "The Wind in the Willows" Chapter EightHi everyone! Today, I want to tell you about the eighth chapter of "The Wind in the Willows." It's super fun and exciting, just like all the other chapters in the book.So, in this chapter, Mole and Rat are hanging out by the river when they hear this wonderful sound. It's the sound of Pan playing his pipes, and it's so beautiful that it makes Mole and Rat feel really happy. They even start dancing and singing along!But then, all of a sudden, a big, scary stoat named Chief Weasel shows up. He's causing trouble and scaring all the other animals in the riverbank. Mole and Rat know they have to do something to stop him, so they come up with a clever plan to trick Chief Weasel and make him go away.With the help of their friends Toad, Badger, and Otter, Mole and Rat are able to outsmart Chief Weasel and save the day. It's areally exciting and adventurous chapter, and it shows just how brave and clever Mole and Rat are.I really enjoyed reading this chapter because it taught me that no matter how scary or difficult a situation may seem, if you work together with your friends and use your brains, you can overcome any obstacle. That's a really important lesson to learn, and I think it's one of the reasons why "The Wind in the Willows" is such a great book.I can't wait to read the next chapter and see what other adventures Mole, Rat, Toad, Badger, and Otter go on. I'm sure it will be just as fun and exciting as this one! Thanks for listening to my thoughts on "The Wind in the Willows" Chapter Eight. Bye for now!篇6Title: My Thoughts on "The Eighth Episode of The Wind in the Willows"Hey guys! Today I want to talk to you about this cool book I just read called "The Eighth Episode of The Wind in the Willows". It's a really awesome story about animals who can talk and go on all sorts of adventures.In this book, the animals are all friends and they live in the wild. There's a mole, a rat, a toad, and a badger. They all have different personalities and they get into all kinds of funny situations. My favorite character is Toad because he's so silly and always getting into trouble.The story is all about friendship and loyalty. The animals stick together no matter what and help each other out when they're in trouble. It made me think about how important it is to have good friends who always have your back.One of the best parts of the book is when the animals go on a journey to find a lost treasure. They face all sorts of challenges along the way, but they never give up. It showed me that we can accomplish anything if we work together and never lose hope.Overall, "The Eighth Episode of The Wind in the Willows" is a super fun and exciting book that teaches us the value of friendship and teamwork. I highly recommend it to all my friends.I hope you guys enjoy it as much as I did!篇7Title: My Thoughts on "The Sound of the Wind in Willow Woods" Chapter EightHey guys, I just finished reading chapter eight of "The Sound of the Wind in Willow Woods" and I have so much to say about it! This chapter was really exciting and had lots of twists and turns that I didn't see coming.One thing I really liked about this chapter was how the main character, Lily, finally stood up to the mean girl in her class. It was so cool to see her find her courage and speak her mind. It made me think about how important it is to stand up for yourself and not let others push you around.I also loved how Lily and her friends went on a big adventure in the woods. They discovered a secret cave and found a magical crystal that gave them special powers. It was like something out of a movie! I wish I could go on an adventure like that with my friends.But the best part of the chapter was the ending. Just when I thought everything was going to be okay, there was a huge cliffhanger that left me wanting more. I can't wait to see what happens in the next chapter!Overall, I really enjoyed reading chapter eight of "The Sound of the Wind in Willow Woods." It was full of excitement, mystery, and friendship. I can't wait to read the next chapter and find out what happens next.篇8Title: My Thoughts on "The Eighth Chapter of Wind in the Willows"Hey guys! So, I just finished reading "The Eighth Chapter of Wind in the Willows" and let me tell you, it was super awesome! The story was about Rat and Mole going on a big adventure together and meeting new friends along the way. It was so exciting and funny at the same time!One thing I really liked about the book was how the author described all the different animals in such a cool way. Like, there was this one part where Rat and Mole meet a wise old Badger who helps them out with their problems. And then they run into a crazy Toad who is always getting into trouble - he was hilarious!I also loved how the author showed the importance of friendship and working together. Rat and Mole had each other's backs no matter what, and that's something really special. It made me think about my own friends and how we always stick together too.Overall, "The Eighth Chapter of Wind in the Willows" was a super fun and heartwarming story that taught me a lot aboutfriendship and adventure. I can't wait to read the next chapter and see what other crazy adventures Rat and Mole get up to!That's it for my thoughts on the book. I hope you guys check it out too and have as much fun as I did reading it. See you next time! Bye!篇9"Wow! Have you read the eighth article of "The Sound of the Wind in the Willows"? It was so exciting and thrilling! This time, the animals in the story faced a dangerous situation when a wildfire swept through the forest. It was really scary, but they all worked together to put out the fire and protect their home.I think the story teaches us the importance of teamwork and cooperation. When everyone works together towards a common goal, amazing things can happen. Just like how the animals in the story saved their forest from the wildfire, we can achieve great things if we support each other and work as a team.I also liked how the author described the beauty of nature in the forest. The way the wind rustled through the leaves and the sunlight danced on the water, it made me feel like I was right there with the animals. It reminded me to appreciate the world around me and to take care of our environment.Overall, I really enjoyed reading the eighth article of "The Sound of the Wind in the Willows". It was a fun and inspiring story that taught me valuable lessons about teamwork, nature, and friendship. I can't wait to read the next one and see what adventures the animals will go on next!"篇10As a primary school student, I recently read the eighth essay of "Sounds of the Willow Forest” and I really enjoyed it! The story was about a young girl named Lily who went on an adventure to discover the secrets of the mysterious forest. Here are some of my thoughts after reading the story:First of all, I thought it was really cool how Lily was so brave and curious. Even though she was scared at times, she didn't give up and kept on exploring. It made me think about how important it is to be brave and never give up, no matter how tough things get.Secondly, I loved how the author described the forest with such vivid details. I could almost imagine myself walking through the dense trees and hearing the rustling of the leaves. It made me appreciate the beauty of nature even more and made me want to explore the forest myself.Lastly, I was really surprised by the twist at the end of the story. I won't spoil it for you, but it made me think about how things are not always what they seem and how important it is to keep an open mind.Overall, reading the eighth essay of "Sounds of the Willow Forest” was a really fun and inspiring experience for me. It taught me about bravery, curiosity, and the beauty of nature. I can't wait to read more stories like this one!。
商务翻译 Chapter 8
9. It is true our price is a bit higher compared with that of other suppliers，but you know you get what you pay for. 译文： 译文：我方价格是比其他供货商高些，但要知 道一分钱一分货。
我听说稀土出口税率四月一日起会增长十倍。 a. I hear that the export tax rate of rare earth will increase by ten folds (times) starting from April 1. b. I hear that the export tax rate of rare earth will have a tenfold increase by April 1. c. I hear that the export tax rate of rare earth on April 1 will be ten times larger than that of March. d. I hear that the export tax rate of rare earth on April 1 will be eleven times as much as that of March.
2. a. b.
ton (tonne) 吨 metric ton (公制) 公吨 = 1000 kg. long ton (英制) 长吨 = 2240 lb. = 1.016 公吨（1016 kg） short ton ( 美制) 短吨 = 2000 lb. = 0.907 公吨（907 kg） 溢装 overload 短装 shortload
2.
According to your invitation No.108, we are pleased to submit to you our bid. 译文: 根据你方第108号招标通知，我方乐于 提交标书。
Chap008金融机构管理课后题答案
Chapter EightInterest Rate Risk IChapter OutlineIntroductionThe Central Bank and Interest Rate RiskThe Repricing ModelRate-Sensitive AssetsRate-Sensitive LiabilitiesEqual Changes in Rates on RSAs and RSLsUnequal Changes in Rates on RSAs and RSLsWeaknesses of the Repricing ModelMarket Value EffectsOveraggregationThe Problem of RunoffsCash Flows from Off-Balance Sheet ActivitiesThe Maturity ModelThe Maturity Model with a Portfolio of Assets and Liabilities Weakness of the Maturity ModelSummaryAppendix 8A: Term Structure of Interest RatesUnbiased Expectations TheoryLiquidity Premium Theory Market Segmentation TheorySolutions for End-of-Chapter Questions and Problems: Chapter Eight1. What was the impact on interest rates of the borrowed reserves targetingregime used by the Federal Reserve from 1982 to 1993The volatility of interest rates was significantly lower than under the nonborrowed reserves target regime used in the three years immediately prior to 1982. Figure 8-1 indicates that both the level and volatility of interest rates declined even further after 1993 when the Fed decided that it would target primarily the fed funds rate as a guide for monetary policy.2. How has the increased level of financial market integration affectedinterest ratesIncreased financial market integration, or globalization, increases the speed with which interest rate changes and volatility are transmitted among countries. The result of this quickening of global economic adjustment is to increase the difficulty and uncertainty faced by the Federal Reserve as it attempts to manage economic activity within the U.S. Further, because FIs have become increasingly more global in their activities, any change in interest rate levels or volatility caused by Federal Reserve actions more quickly creates additional interest rate risk issues for these companies.3. What is the repricing gap In using this model to evaluate interest raterisk, what is meant by rate sensitivity On what financial performance variable does the repricing model focus Explain.The repricing gap is a measure of the difference between the dollar value of assets that will reprice and the dollar value of liabilities that will reprice within a specific time period, where reprice means the potential to receive a new interest rate. Rate sensitivity represents the time interval where repricing can occur. The model focuses on the potential changes in the net interest income variable. In effect, if interest rates change, interest income and interest expense will change as the various assets and liabilities are repriced, that is, receive new interest rates.4. What is a maturity bucket in the repricing model Why is the length oftime selected for repricing assets and liabilities important when using the repricing modelThe maturity bucket is the time window over which the dollar amounts of assets and liabilities are measured. The length of the repricing period determines which of the securities in a portfolio are rate-sensitive. The longer the repricing period, the more securities either mature or need to be repriced, and, therefore, the more the interest rate exposure. An excessively short repricing period omits consideration of the interest rate risk exposure of assets and liabilities are that repriced in the period immediately following the end of the repricing period. That is, it understates the rate sensitivity of the balance sheet. An excessively long repricing period includes many securities that are repriced at different times within the repricing period, thereby overstating the rate sensitivity of the balance sheet.5. Calculate the repricing gap and the impact on net interest income of a 1percent increase in interest rates for each of the following positions:Rate-sensitive assets = $200 million. Rate-sensitive liabilities =$100 million.Repricing gap = RSA - RSL = $200 - $100 million = +$100 million.NII = ($100 million)(.01) = +$ million, or $1,000,000.Rate-sensitive assets = $100 million. Rate-sensitive liabilities =$150 million.Repricing gap = RSA - RSL = $100 - $150 million = -$50 million.NII = (-$50 million)(.01) = -$ million, or -$500,000.Rate-sensitive assets = $150 million. Rate-sensitive liabilities =$140 million.Repricing gap = RSA - RSL = $150 - $140 million = +$10 million.NII = ($10 million)(.01) = +$ million, or $100,000.a. Calculate the impact on net interest income on each of the abovesituations assuming a 1 percent decrease in interest rates.NII = ($100 million) = -$ million, or -$1,000,000.NII = (-$50 million) = +$ million, or $500,000.NII = ($10 million) = -$ million, or -$100,000.b. What conclusion can you draw about the repricing model from theseresultsThe FIs in parts (1) and (3) are exposed to interest rate declines(positive repricing gap) while the FI in part (2) is exposed to interest rate increases. The FI in part (3) has the lowest interest rate riskexposure since the absolute value of the repricing gap is the lowest,while the opposite is true for part (1).6. What are the reasons for not including demand deposits as rate-sensitiveliabilities in the repricing analysis for a commercial bank What is the subtle, but potentially strong, reason for including demand deposits inthe total of rate-sensitive liabilities Can the same argument be madefor passbook savings accountsThe regulatory rate available on demand deposit accounts is zero. Although many banks are able to offer NOW accounts on which interest can be paid, this interest rate seldom is changed and thus the accounts are not really sensitive. However, demand deposit accounts do pay implicit interest in the form of not charging fully for checking and other services. Further, when market interest rates rise, customers draw down their DDAs, which may cause the bank to use higher cost sources of funds. The same or similar arguments can be made for passbook savings accounts.7. What is the gap ratio What is the value of this ratio to interest raterisk managers and regulatorsThe gap ratio is the ratio of the cumulative gap position to the total assets of the bank. The cumulative gap position is the sum of the individual gaps over several time buckets. The value of this ratio is that it tells the direction of the interest rate exposure and the scale of that exposure relative to the size of the bank.8. Which of the following assets or liabilities fit the one-year rate or repricing sensitivity test91-day . Treasury bills Yes1-year . Treasury notes Yes20-year . Treasury bonds No20-year floating-rate corporate bonds with annual repricing Yes30-year floating-rate mortgages with repricing every two years No30-year floating-rate mortgages with repricing every six months YesOvernight fed funds Yes9-month fixed rate CDs Yes1-year fixed-rate CDs Yes5-year floating-rate CDs with annual repricing YesCommon stock No9. Consider the following balance sheet for WatchoverU Savings, Inc. (in millions):Assets Liabilities and EquityFloating-rate mortgages Demand deposits(currently 10% annually) $50 (currently 6% annually) $7030-year fixed-rate loans Time deposits(currently 7% annually) $50 (currently 6% annually $20Equity $10 Total Assets $100 Total Liabilities & Equity$100a. What is WatchoverU’s expected net interest income at year-endCurrent expected interest income:$5m + $3.5m = $8.5m.Expected interest expense: $4.2m + $1.2m = $5.4m.Expected net interest income: $8.5m - $5.4m = $3.1m.b. What will be the net interest income at year-end if interest ratesrise by 2 percentAfter the 200 basis point interest rate increase, net interest incomedeclines to:50 + 50 - 70 - 20(.06) = $9.5m - $6.8m = $2.7m, a decline of $0.4m.c. Using the cumulative repricing gap model, what is the expected netinterest income for a 2 percent increase in interest rates Wachovia’s' repricing or funding gap is $50m - $70m = -$20m. The change in net interest income using the funding gap model is (-$20m) = -$.4m.d.What will be the net interest income at year-end if interest ratesincrease 200 basis points on assets, but only 100 basis points onliabilities Is it reasonable for changes in interest rates to affectbalance sheet in an uneven manner WhyAfter the unbalanced rate increase, net interest income will be 50 +50 - 70 - 20(.06) = $9.5m - $6.1m = $3.4m, an increase of $0.3m. It isnot uncommon for interest rates to adjust in an uneven manner over two sides of the balance sheet because interest rates often do not adjust solely because of market pressures. In many cases the changes areaffected by decisions of management. Thus you can see the difference between this answer and the answer for part a.10. What are some of the weakness of the repricing model How have largebanks solved the problem of choosing the optimal time period forrepricing What is runoff cash flow, and how does this amount affect the repricing model’s analysisThe repricing model has four general weaknesses:(1) It ignores market value effects.(2) It does not take into account the fact that the dollar value of ratesensitive assets and liabilities within a bucket are not similar. Thus, if assets, on average, are repriced earlier in the bucket thanliabilities, and if interest rates fall, FIs are subject to reinvestment risks.(3) It ignores the problem of runoffs, that is, that some assets are prepaidand some liabilities are withdrawn before the maturity date.(4) It ignores income generated from off-balance-sheet activities.Large banks are able to reprice securities every day using their own internal models so reinvestment and repricing risks can be estimated for each day ofthe year.Runoff cash flow reflects the assets that are repaid before maturity and the liabilities that are withdrawn unsuspectedly. To the extent that either of these amounts is significantly greater than expected, the estimated interest rate sensitivity of the bank will be in error.11. Use the following information about a hypothetical government securitydealer named . Jorgan. Market yields are in parenthesis, and amounts are in millions.Assets Liabilities and EquityCash $10 Overnight Repos $1701 month T-bills %) 75 Subordinated debt3 month T-bills %) 75 7-year fixed rate % 1502 year T-notes %) 508 year T-notes %) 1005 year munis (floating rate)% reset every 6 months) 25 Equity 15 Total Assets $335 Total Liabilities & Equity$335a. What is the funding or repricing gap if the planning period is 30 days91 days 2 years Recall that cash is a noninterest-earning asset.Funding or repricing gap using a 30-day planning period = 75 - 170 = -$95 million.Funding gap using a 91-day planning period = (75 + 75) - 170 = -$20 million.Funding gap using a two-year planning period = (75 + 75 + 50 + 25) - 170 = +$55 million.b. What is the impact over the next 30 days on net interest income if allinterest rates rise 50 basis points Decrease 75 basis pointsNet interest income will decline by $475,000. NII = FG(R) = -95(.005) = $0.475m.Net interest income will increase by $712,500. NII = FG(R)= -95(.0075) = $0.7125m.c.The following one-year runoffs are expected: $10 million for two-yearT-notes, and $20 million for eight-year T-notes. What is the one-year repricing gapFunding or repricing gap over the 1-year planning period = (75 + 75 + 10 + 20 + 25) - 170 = +$35 million.d. If runoffs are considered, what is the effect on net interest incomeat year-end if interest rates rise 50 basis points Decrease 75 basispointsNet interest income will increase by $175,000. NII = FG(R) = 35 = $0.175m.Net interest income will decrease by $262,500, NII = FG(R) = 35 = -$0.2625m.12. What is the difference between book value accounting and market valueaccounting How do interest rate changes affect the value of bank assets and liabilities under the two methods What is marking to marketBook value accounting reports assets and liabilities at the original issue values. Current market values may be different from book values because they reflect current market conditions, such as interest rates or prices. This is especially a problem if an asset or liability has to be liquidated immediately. If the asset or liability is held until maturity, then the reporting of book values does not pose a problem.For an FI, a major factor affecting asset and liability values is interestrate changes. If interest rates increase, the value of both loans (assets) and deposits and debt (liabilities) fall. If assets and liabilities are held until maturity, it does not affect the book valuation of the FI. However, ifdeposits or loans have to be refinanced, then market value accounting presents a better picture of the condition of the FI.The process by which changes in the economic value of assets and liabilities are accounted is called marking to market. The changes can be beneficial as well as detrimental to the total economic health of the FI.13. Why is it important to use market values as opposed to book values whenevaluating the net worth of an FI What are some of the advantages ofusing book values as opposed to market valuesBook values represent historical costs of securities purchased, loans made, and liabilities sold. They do not reflect current values as determined by market values. Effective financial decision-making requires up-to-date information that incorporates current expectations about future events. Market values provide the best estimate of the present condition of an FI and serve as an effective signal to managers for future strategies.Book values are clearly measured and not subject to valuation errors, unlike market values. Moreover, if the FI intends to hold the security until maturity, then the security's current liquidation value will not be relevant. That is, the paper gains and losses resulting from market value changes will never be realized if the FI holds the security until maturity. Thus, the changes in market value will not impact the FI's profitability unless the security is sold prior to maturity.14. Consider a $1,000 bond with a fixed-rate 10 percent annual coupon (Cpn %)and a maturity (N) of 10 years. The bond currently is trading to amarket yield to maturity (YTM) of 10 percent. Complete the followingtable.From Par, $ From Par, %N Cpn % YTM Price Change in Price Change in Price8 10% 9% $1, $ %9 10% 9% $1, $ %10 10% 9% $1, $ %10 10% 10% $1,10 10% 11% $ -$ %11 10% 11% $ -$ %12 10% 11% $ -$ %Use this information to verify the principles of interest rate-pricerelationships for fixed-rate financial assets.Rule One: Interest rates and prices of fixed-rate financial assets move inversely. See the change in price from $1,000 to $ for the change in interest rates from 10 percent to 11 percent, or from $1,000 to $1, when rates change from 10 percent to 9 percent.Rule Two: The longer is the maturity of a fixed-income financial asset, the greater is the change in price for a given change in interest rates.A change in rates from 10 percent to 11 percent has caused the 10-yearbond to decrease in value $, but the 11-year bond will decrease in value $, and the 12-year bond will decrease $.Rule Three: The change in value of longer-term fixed-rate financialassets increases at a decreasing rate. For the increase in rates from 10 percent to 11 percent, the difference in the change in price between the 10-year and 11-year assets is $, while the difference in the change in price between the 11-year and 12-year assets is $.Rule Four: Although not mentioned in the text, for a given percentage () change in interest rates, the increase in price for a decrease in ratesis greater than the decrease in value for an increase in rates. Thus for rates decreasing from 10 percent to 9 percent, the 10-year bond increases $. But for rates increasing from 10 percent to 11 percent, the 10-year bond decreases $.15. Consider a 12-year, 12 percent annual coupon bond with a required returnof 10 percent. The bond has a face value of $1,000.a. What is the price of the bondPV = $120*PVIFAi=10%,n=12 + $1,000*PVIFi=10%,n=12= $1,b. If interest rates rise to 11 percent, what is the price of the bondPV = $120*PVIFAi=11%,n=12 + $1,000*PVIFi=11%,n=12= $1,c. What has been the percentage change in priceP = ($1, - $1,/$1, = or – percent.d. Repeat parts (a), (b), and (c) for a 16-year bond.PV = $120*PVIFAi=10%,n=16 + $1,000*PVIFi=10%,n=16= $1,PV = $120*PVIFAi=11%,n=16 + $1,000*PVIFi=11%,n=16= $1,P = ($1, - $1,/$1, = or – percent.e. What do the respective changes in bond prices indicateFor the same change in interest rates, longer-term fixed-rate assets have a greater change in price.16. Consider a five-year, 15 percent annual coupon bond with a face value of$1,000. The bond is trading at a market yield to maturity of 12 percent.a. What is the price of the bondPV = $150*PVIFAi=12%,n=5 + $1,000*PVIFi=12%,n=5= $1,b. If the market yield to maturity increases 1 percent, what will be thebond’s new pricePV = $150*PVIFAi=13%,n=5 + $1,000*PVIFi=13%,n=5= $1,c. Using your answers to parts (a) and (b), what is the percentage changein the bond’s price as a result of the 1 percent increase in interest ratesP = ($1, - $1,/$1, = or – percent.d. Repeat parts (b) and (c) assuming a 1 percent decrease in interestrates.PV = $150*PVIFAi=11%,n=5 + $1,000*PVIFi=11%,n=5= $1,P = ($1, - $1,/$1, = or percente. What do the differences in your answers indicate about the rate-pricerelationships of fixed-rate assetsFor a given percentage change in interest rates, the absolute value of the increase in price caused by a decrease in rates is greater than the absolute value of the decrease in price caused by an increase in rates.17. What is maturity gap How can the maturity model be used to immunize anFI’s portfolio What is the critical requirement to allow maturitymatching to have some success in immunizing the balance sheet of an FIMaturity gap is the difference between the average maturity of assets and liabilities. If the maturity gap is zero, it is possible to immunize the portfolio, so that changes in interest rates will result in equal but offsetting changes in the value of assets and liabilities and net interest income. Thus, if interest rates increase (decrease), the fall (rise) in the value of the assets will be offset by a perfect fall (rise) in the value of the liabilities. The critical assumption is that the timing of the cash flows on the assets and liabilities must be the same.18. Nearby Bank has the following balance sheet (in millions):Assets Liabilities and EquityCash $60 Demand deposits $1405-year treasury notes $60 1-year Certificates of Deposit $160 30-year mortgages $200 Equity $20Total Assets $320 Total Liabilities and Equity$320What is the maturity gap for Nearby Bank Is Nearby Bank more exposed to an increase or decrease in interest rates Explain whyM A = [0*60 + 5*60 + 200*30]/320 = years, and ML= [0*140 + 1*160]/300 = .Therefore the maturity gap = MGAP = – = years. Nearby bank is exposed toan increase in interest rates. If rates rise, the value of assets will decrease much more than the value of liabilities.19. County Bank has the following market value balance sheet (in millions,annual rates):Assets Liabilities and EquityCash $20 Demand deposits $10015-year commercial loan @ 10% 5-year CDs @ 6% interest,interest, balloon payment $160 balloon payment $21030-year Mortgages @ 8% interest, 20-year debentures @ 7% interest$120monthly amortizing $300 Equity $50Total Assets $480 Total Liabilities & Equity $480a. What is the maturity gap for County BankMA= [0*20 + 15*160 + 30*300]/480 = years.ML= [0*100 + 5*210 + 20*120]/430 = years.MGAP = – = years.b. What will be the maturity gap if the interest rates on all assets andliabilities increase by 1 percentIf interest rates increase one percent, the value and average maturity of the assets will be:Cash = $20Commercial loans = $16*PVIFAn=15, i=11% + $160*PVIFn=15,i=11%= $Mortgages = $,294*PVIFAn=360,i=9%= $MA= [0*20 + *15 + *30]/(20 + + = yearsThe value and average maturity of the liabilities will be: Demand deposits = $100CDs = $*PVIFAn=5,i=7% + $210*PVIFn=5,i=7%= $Debentures = $*PVIFAn=20,i=8% + $120*PVIFn=20,i=8%= $ML= [0*100 + 5* + 20*]/(100 + + = yearsThe maturity gap = MGAP = – = years. The maturity gap increased because the average maturity of the liabilities decreased more than the average maturity of the assets. This result occurred primarily because of the differences in the cash flow streams for the mortgages and the debentures.c. What will happen to the market value of the equityThe market value of the assets has decreased from $480 to $, or $. The market value of the liabilities has decreased from $430 to $, or $. Therefore the market value of the equity will decrease by $ - $ = $, or percent.d. If interest rates increased by 2 percent, would the bank be solvent The value of the assets would decrease to $, and the value of the liabilities would decrease to $. Therefore the value of the equity would be $. Although the bank remains solvent, nearly 65 percent of the equity has eroded because of the increase in interest rates.20. Given that bank balance sheets typically are accounted in book valueterms, why should the regulators or anyone else be concerned about howinterest rates affect the market values of assets and liabilitiesThe solvency of the balance sheet is an important variable to creditors of the bank. If the capital position of the bank decreases to near zero, creditors may not be willing to provide funding for the bank, and the bank may need assistance from the regulators, or may even fail. Thus any change in the market value of assets or liabilities that is caused by changes in the level of interest rate changes is of concern to regulators.21. If a bank manager is certain that interest rates were going to increasewithin the next six months, how should the bank manager adjust thebank’s maturity gap to take advantage of this antici pated increase What if the manager believed rates would fall Would your suggestedadjustments be difficult or easy to achieveWhen rates rise, the value of the longer-lived assets will fall by more the shorter-lived liabilities. If the maturity gap (or duration gap) is positive, the bank manager will want to shorten the maturity gap. If the repricing gap is negative, the manager will want to move it towards zero or positive. If rates are expected to decrease, the manager should reverse these strategies. Changing the maturity, duration, or funding gaps on the balance sheet often involves changing the mix of assets and liabilities. Attempts to make these changes may involve changes in financial strategy for the bank which may notbe easy to accomplish. Later in the text, methods of achieving the same results using derivatives will be explored.22. Consumer Bank has $20 million in cash and a $180 million loan portfolio.The assets are funded with demand deposits of $18 million, a $162 million CD and $20 million in equity. The loan portfolio has a maturity of 2years, earns interest at the annual rate of 7 percent, and is amortized monthly. The bank pays 7 percent annual interest on the CD, but theinterest will not be paid until the CD matures at the end of 2 years.a. What is the maturity gap for Consumer Bank= [0*$20 + 2*$180]/$200 = yearsMA= [0*$18 + 2*$162]/$180 = yearsMLMGAP = – = 0 years.b. Is Consumer Bank immunized or protected against changes in interestrates Why or why notIt is tempting to conclude that the bank is immunized because thematurity gap is zero. However, the cash flow stream for the loan and the cash flow stream for the CD are different because the loan amortizesmonthly and the CD pays annual interest on the CD. Thus any change in interest rates will affect the earning power of the loan more than the interest cost of the CD.c. Does Consumer Bank face interest rate risk That is, if marketinterest rates increase or decrease 1 percent, what happens to thevalue of the equityThe bank does face interest rate risk. If market rates increase 1percent, the value of the cash and demand deposits does not change.However, the value of the loan will decrease to $, and the value of the CD will fall to $. Thus the value of the equity will be ($ + $20 - $18 - $ = $. In this case the increase in interest rates causes the marketvalue of equity to increase because of the reinvestment opportunities on the loan payments.If market rates decrease 1 percent, the value of the loan increases to $, and the value of the CD increases to $. Thus the value of the equitydecreases to $.d. How can a decrease in interest rates create interest rate riskThe amortized loan payments would be reinvested at lower rates. Thuseven though interest rates have decreased, the different cash flowpatterns of the loan and the CD have caused interest rate risk.23. FI International holds seven-year Acme International bonds and two-yearBeta Corporation bonds. The Acme bonds are yielding 12 percent and the Beta bonds are yielding 14 percent under current market conditions.a. What is the weighted-average maturity of FI’s bond portfolio if 40percent is in Acme bonds and 60 percent is in Beta bondsAverage maturity = x 7 years + x 2 years = 4 yearsb. What proportion of Acme and Beta bonds should be held to have aweighted-average yield of percentLet X* + (1 - X)* = . Solving for X, we get 25 percent. In order to get an average yield of percent, we need to hold 25 percent of Acme and 75 percent of Beta.c. What will be the weighted-average maturity of the bond portfolio ifthe weighted-average yield is realizedThe average maturity of the portfolio will decrease to x 7 + x 2 = years.24. An insurance company has invested in the following fixed-incomesecurities: (a) $10,000,000 of 5-year Treasury notes paying 5 percentinterest and selling at par value, (b) $5,800,000 of 10-year bonds paying7 percent interest with a par value of $6,000,000, and (c) $6,200,000 of20-year subordinated debentures paying 9 percent interest with a parvalue of $6,000,000.a. What is the weighted-average maturity of this portfolio of assets= [5*$10 + 10*$ + 20*$]/$22 = 232/22 = yearsMAb. If interest rates change so that the yields on all of the securitiesdecrease 1 percent, how does the weighted-average maturity of theportfolio changeTo determine the weighted-average maturity of the portfolio for a rate decrease of 1 percent, the new value of each security must be determined. This calculation will require knowing the YTM of each security before the rate change.T-notes are selling at par, so the YTM = 5 percent. Therefore, the new value will bePV = $500,000*PVIFAn=5,i=4% + $10,000,000*PVIFn=5,i=4%= $10,445,182.10-year bonds: Par = $6,000,000, PV = $5,800,000, Cpn = 7 percent YTM= %. The new PV = $420,000*PVIFAn=10,i=% + $6,000,000*PVIFn=10,i=%= $6,222,290.Debentures: Par = $6,000,000, PV = $6,200,000, Cpn = 9 percentpercent. The new PV = $540,000*PVIFAn=20,i=% + $6,000,000*PVIFn=20,i==$6,820,418.The total value of the assets after the change in rates will be$23,487,890, and the weighted-average maturity will be [5*10,445,182 +10*6,222,290 + 20*6,820,418]/23,487,890 = 250,857,170/23,487,890 = years.c. Explain the changes in the maturity values if the yields increase by 1 percent.。
Chapter 8 对比分析和难度等级
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Definition of Contrastive Analysis
Contrastive analysis is the systematic study of a pair of languages with a view to identifying their structural differences and similarities. Historically it has been used
Chapter 8 Contrastive Analysis, Interlanguage, and Error Analysis
Contrastive Analysis
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The Contrastive Analysis Hypothesis (CAH) Hierarchy of Difficulty Moderating the Contrastive Analysis Hypothesis Markedness and Universal Grammer
How can we infer where the learner comes from?
Human learning theories
How do people interpret “interfering” elements of
learning with human learning theories?
to establish language genealogies. ---From Wikipedia
Definition of Contrastive Analysis
Contrastive analysis was used extensively in the field of second language acquisition in the 1960s and early 1970s, explaining why some features of a target language were more difficult to acquire than others. Therefore, the difficulty in mastering certain structures in a second language (L2) depended on the difference between the learners' mother language (L1) and the language they were trying to learn.