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NEW QUESTION: 1
Mary Pierce, CFA, has just joined The James Group as a fixed income security analyst. Pierce has taken over for Katy Williams, who left The James Group to start her own investment firm. Pierce has been reviewing Williams's files, which include data on a number of securities that Williams had been reviewing.
The first file had information on several different asset-backed securities. A summary schedule that Williams had prepared is shown in Exhibit 1.
Exhibit 1: Summary Schedule

The second file included the following schedule of information relating to a specific CMO thai Williams had been considering. Exhibit 2 reflects the results of a Monte Carlo simulation based on 15% volatility of interest rates. This security is stil! available, and Pierce needs to evaluate the investment merit of any or all of the listed tranches.

A third file contained notes Williams had laken at a seminar a couple of months ago on valuing various types of asset-backed and mortgage-backed securities. These notes included the following comments that Pierce found interesting:
"Cash flow yield (CFY) is one method of valuing mortgage-backed securities. An advantage of the CFY is that it does not rely on any specific prepayment assumptions. An important weakness of CFY is the assumption that interim cash flows will be reinvested at the CFY. This is rarely true for mortgage-backed securities."
"Cash flow duration is similar to effective duration, but its weakness is that it fails to fully account for changes in prepayment rates as cash flow yields change. Empirical duration suffers two disadvantages as a measure of interest rate exposure: reliance on theoretical formulas and reliance on historical pricing data that may not exist for many mortgage-backed securities."
"The recent increase in the default rate for subprime adjustable rate mortgages can be traced to the structure of these loans. The negative amortization feature of these loans basically gave the borrower an at-the-money call option on their property. Once the property decreased in value, this call option was worthless, and the borrower had no incentive to make any additional payments." Pierce is analyzing the data related to the CMO tranches. Based only on the information in Exhibit 2, the option cost (in bp) of the PAC C tranche is:
A. greater than the option cost of the Support S tranche.
B. greater than the option cost of the PAC D tranche
C. equal to the option cost of the PAC B tranche.
Answer: C
Explanation:
Explanation/Reference:
Explanation:
The most The option cost for the PAC C tranche is the difference between the OAS and the zero volatility spread, or 117 - 65 = 52 bp. The PAC D option cost is 140 - 72 = 68 bp, Support S is 142 -51=91 bp, and PAC B is 95 - 43 = 52 bp. (Study Session 15, LOS 57.d,e)

NEW QUESTION: 2
Which code, inserted at line 8, generates the output "100"?
#include <iostream>
using namespace std;
int fun(int);
int main()
{
int *x = new int;
*x=10;
//insert code here
return 0;
}
int fun(int i)
{
return i*i;
}
A. cout << fun(10);
B. cout << fun(*x) ;
C. cout << fun(5) ;
D. cout << fun(y) ;
Answer: A,B

NEW QUESTION: 3
Which two approaches can an administrator use to configure View Persona Management for one desktop pool? (Choose two.)
A. Add the View Persona Management Administrative (ADM) Template file to Active Directory and apply the group policy settings to the OU that contains the desktops in the pool.
B. Add the View Persona Management Administrative (ADM) Template file to each desktop in the pool.
C. Add the View Persona Management Administrative (ADM) Template file to Active Directory and apply the group policy settings to the OU that contains the users in the pool.
D. Add the View Persona Management Administrative (ADM) Template file to the virtual machine that is used to create the pool.
Answer: A,D

NEW QUESTION: 4
In which table could you find the current order state?
A. sales_flat_order_state
B. sales_flat_order
C. sales_flat_order_status_history
D. sales_flat_order_status
Answer: B