Discuss why loan originators might consider selling a loan. Why might an institution consider buying loan participation?
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 45% (11 reviews)
Originators might consider selling a loan to reduce their credit risk ...View the full answer
Answered By
PALASH JHANWAR
I am a Chartered Accountant with AIR 45 in CA - IPCC. I am a Merit Holder ( B.Com ). The following is my educational details.
PLEASE ACCESS MY RESUME FROM THE FOLLOWING LINK: https://drive.google.com/file/d/1hYR1uch-ff6MRC_cDB07K6VqY9kQ3SFL/view?usp=sharing
3.80+
3+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Banking questions
-
What are the advantages and disadvantages of a fixed principal, fixed interest loan?
-
What are the advantages and disadvantages of buying prepackaged software?
-
What are the advantages and disadvantages of a centralized buying organization?
-
The B.B. Lean Co. has 1.4 million shares of stock outstanding. The stock currently sells for $20 per share. The firm's debt is publicly traded and was recently quoted at 93 percent of face value. It...
-
Is the length of a steel bar affected by the heat treatment technique used? This was the question being tested when the following data were collected. a. Find the means and standard deviations for...
-
1.Corporations are legal entities formed under the laws of a state. True False 2.Generally, a partner recognizes no gain or loss on the formation of a partnership. True False 3.What tax form is a...
-
The three major cost components of manufacturing a product are a. Direct materials, direct labor, and factory overhead. b. Period costs, product costs, and sunk costs. c. Indirect labor, indirect...
-
Using Excel Bishop Company has provided the estimated data that appear in rows 4 to 8 of the following spreadsheet Required Construct a spreadsheet as follows that would allow you to determine net...
-
Prepare the adjusting entries for the month of June. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented...
-
An ISP is granted the block 80.70.56.0/21. The ISP needs to allocate addresses for two organizations each with 500 addresses, two organizations each with 250 addresses, and three organizations each...
-
Using the example in the text, develop a list of questions that a loan officer should ask Marcus Wade to gain a better understanding of the risks involved in lending to Wades Office Furniture.
-
Explain why collateral alone does not justify extending credit. Cite examples, using real estate or agricultural products as collateral.
-
Sales of stoves have been going well for the Good- Value Department Store. These sales for the past five months have been 15, 18, 12, 17, 13. Use the following methods to obtain a forecast of sales...
-
Name and define the more common constraints in any given project.
-
Graph the function f(x)=-x+4x-20 State where f(x) is increasing and decreasing. State any absolute extrema (if they exist). Determine the Domain and Range.
-
A residential wiring circuit is shown in the figure. In thismodel, the resistor R 3 is used to model a 250 V appliance(such as an electric range), and the resistors R 1 and R 2 are used to model 125...
-
1. The speed limit on some interstate highways is roughly 100 km/h. (a) What is this in meters per second? (b) How many miles per hour is this? 2. A car is traveling at a speed of 33 m/s. (a) What is...
-
Questions 33 and 34 are based on the following information: Bilog Company's budgeted fixed overhead costs are P50,000 and mthe variable factory overhead rate is P4 per direct labor hour. The standard...
-
The geometry on the surface of a sphere is noneuclidean, so the circumference \(C\) and radius \(R\) of a circle drawn on the sphere do not obey \(C=2 \pi R\), where for example the circumference is...
-
When you weigh yourself on good old terra firma (solid ground), your weight is 142 lb. In an elevator your apparent weight is 121 lb. What are the direction and magnitude of the elevator's...
-
What is the change in gross profit from the previous year to the current year expressed in dollars?
-
If the next chair of the Federal Reserve Board has a reputation for advocating an even slower rate of money growth than the current chair, what will happen to interest rates? Discuss the possible...
-
Why do U.S. Treasury bills have lower interest rates than large-denomination negotiable bank CDs?
-
Risk premiums on corporate bonds are usually anticyclical; that is, they decrease during business cycle expansions and increase during recessions. Why is this so?
-
Long-term liabilities are shown in two places in the business firm's balance sheet depending upon when the long-term liabilities are scheduled for payment. True False
-
Julio is single with 1 withholding allowance. He earned $1,025.00 during the most recent semimonthly pay period. He needs to decide between contributing 3% and $30 to his 401(k) plan. If he chooses...
-
Acquirer firm plans to launch a takeover of Target firm. The manager of Acquirer indicates that the deal will increase the free cash flow of the combined business by $13.6m per year forever. The beta...
Study smarter with the SolutionInn App