Insolvency

trades with. The Fund might place Deposits, invest in money market instruments, and also enter into derivative contracts for hedging objective. In the event that the counterparty is not able to achieve its requirements especially in the event of insolvency, this might lead to a loss to the Fund. Counterparty risk might be moderated by guiding credit evaluation on the counterparty to ascertain the creditworthiness of the counterparty. Money market fund- RHB Money Market Fund Interest Rate Risk…

Liquidity ratios measure company’s ability to pay off short term liabilities using its short term assets (Akinsulire, 2006). Generally, the higher liquidity ratios indicate the margin of safety that the company processes to cover short term liabilities (Akinsulire, 2006). a) Current assets ratio Current assets ratio expresses the extent of current liabilities of a company are covered by current assets (Akinsulire, 2006). Generally 2 current assets per 1 current liability are accepted in most…

A company is recognized as a separate legal entity and yet in reality, it is an association of persons who are in fact beneficiaries of the corporate property. It is therefore understood that corporate personality of the company can be used as a medium of committing fraud or illegal acts. Now, there is arises a paradoxical problem pertaining to the important legal question : Who accords for the liability? Who can be held responsible? The notion of corporate personality does not obviously…

The main debt solutions available to residents of Scotland are as follows; Protected Trust Deed. A Protected Trust Deed is an agreement between you and the people you owe money to (also known as your creditors). It works by you agreeing to REPAY A PERCENTAGE of your debt in one affordable monthly payment over a given time (usually around four years). Once you’ve made your final payment, the remainder of your debt is written off. You’ll still have enough money left over to live your life after…

secure a loan for Cardozo & Co., Inc. It was revealed that Cardozo & Co., Inc 's President had been siphoning money from the company, while still making the company look profitable. This caused the merger deal to collapse and the company to border on insolvency and Prosser bank to be unable to collect loan proceeds. The company is under investigation by the United States Department of Justice (DOJ), the Intenrnal Revenue Service (IRS), the Securities Exchange Commission (SEC), the Florida…

2) Brief Summary of Margin Call The film is about an investment firm that is facing financial difficulties. The firm embarks on a retrenchment initiative to try and improve viability. It retrenches the head of risk management who was working on an important analysis regarding certain mortgage-backed security valuations being ‘overstated’ and the company’s overexposure to these securities. Before leaving, he hands the file over to one of his junior risk analysts with the words: “Be careful”. The…

Lehman Brothers Lehman Brothers Holdings Inc was a global financial institution that played an important part in the financial and commercial history of the United States for more than 150 years. It was found in 1850 by Henry, Emanuel and Mayer Lehman and was the largest investment bank in the US. Its headquarters was in New York and it was dealing with investment and private banking. On September 15, 2008, it created a record bankruptcy in American history. The following day, part of it was…

(a) The potential advantages and disadvantages of Baskin 's overseas investment or exports. 1. Exports Export can promote sales and increase revenue and market development. Product sales to multiple markets and accelerate the company 's business diversification. At the same time, it may increase the cost of additional promotional products, and the import-export government for import and export tariff control and restrictions, as well as complex export licensing documents and uncertain financial…

Policy and Background The water crisis in Flint, Michigan has made national headlines throughout the country. Many citizens first heard of the ordeal in late 2015. However, the process began in March of 2013 when the Flint City Council voted to switch water service from the Detroit Water and Sewerage Department to the Karegnondi Water Authority (Ridley, 2016). The Karegnondi Water Authority was building a new pipe to Lake Huron slated to be completed in 2016 and the City of Flint was eager to…

In the early 20th century the U.S. was facing a healthcare crisis. The country was ravaged by the great depression of the 1930’s, and broken by a six year world war. Most of the hospitals in the U.S. were crumbling and becoming obsolete, and large portions of the nation’s counties were without access to healthcare. During this time President Harry Truman wanted to go the way of other industrialized nations and offer universal health coverage for the American people. At the time it was deemed…