1. Evaluate-rank the bank assets we discussed in terms of liquidity, risk and return.
2. What risks does the banking business involve?
3. What does the theory of efficient markets mean? Does it imply that financial analysts can not make any extraordinary market gain? Explain.
4. What is a consol? What are the advantages and dis advantages? Give a numerical example.
5. Construct a table to compare the risks involved in: Bonds Stocks- Derivatives.
6. Why is having a banking system beneficial to our financial economy?4-5 benefits