DATA EXTRACT;The subsequent occurrence of a banking crisis may prolong the slowdown.A high rate of inflation may also increase the risk of banking sector problems since high and uncertain nominal rates make it difficult for banks to perform maturity transformation.

Secondly, financial sector liberalization may lead to high real interest rates which may contribute to banking sector fragility.A number of developing countries have undertaken expensive financial liberalization without developing the accompanying capacity to supervise financial systems.

Thirdly, many financial institutions in developing countries suffer form political interference whereby politicians sometimes obtain huge loans from banks and do not repay them.The level of bad debts in banks in many developing countries is therefore very substantial and can contribute to a banking crisis in the event that many banks are affected.The high level of non-performing loans are often accompanied by the published accounts of banks being inadequate in disclosing their true financial condition.

Fourthly, the currencies in some developing countries are excessively overvalued which may consequently attract international currency and other financial assets speculators.Such speculative activity may de-stabilize the exchange rates of these countries if it is massive.

Fifthly, banking crises in developing countries are also associated with vulnerability to sudden capital outflows.For example, in the financial crisis ofSouth East Asia, foreign investors in the region panicked and fled the economies of the sub-region.The rush and panic of foreign investors itself brought down many banks in the region.

Sixthly, the banking authorities in some developing countries have pursed the inappropriate policy of directing bank credit to preferred sectors of the economy. This has sometimes provided an avenue for inefficient investment and capital flight.

QUESTIONS

1.as described in the code of conducts for accountants ,analyze the concepts of ethical standards for such

2. Demonstrate your understanding on the key parameters that guide the competence phenomenon for managers

3.what are the guidelines for the confidentiality as required of the management accountants

4.what are the possible scenarios which monitor the integrity/honesty of management officers

5.state the twoprinciples that explain the credibility criteria of the managers

6 .explain the ultimate goal of estimation in management

7. explain the basics of the engineering method as utilized in estimation in management purposes

8.what are the parameters of the high low method used in determining the management estimates in forms

9.analyse the interpretation of apayoff table as applied in management decisions to value items

10.explain the meaning of Perfect information (PI) in management