Treasurer's Companion Capital markets and funding Figure 1: The ratings structure INVESTMENT GRADE NON-INVESTMENT GRADE Long term 222 22 Baal Baa2 Baa3 MOODY'S Prime I Short term Prime 2 Prime 3 Not prime. Long term {{{{ <<< BBB+ BBB BBB- BB+ BB BB- .88u ܣ ܣ ܣ S&P A-1+ Source: The Association of Corporate Treasurers Į Short term B C A-2 Long term AAA AA+ AA {{ << BBB+ BBB BBB BB+ BB BB .88u ܣ ܣ ܣ FITCH FI+ Short term F2 IV HIGHEST LOWEST

Q: write the importance of Financial Information and its distribution in 5 key points/headings

A: A financial statement is prepared by the company in order to retain the accounts and financial…

Q: Describe the steps involve in the lending or credit process

A: Lending The process involves granting permission to use the money for a specific period of time…

Q: Draw a figure showing the five parts of the Financial System and explain them in detail

A: The figure is drawn below:

Q: What are the advantages and disadvantages of implementing credit scoring within a financial…

A: The credit scoring is calculated by checking the payment history of an individual, credit mix,…

Q: Which of the following is TRUE about Credit Score / FICO Score: Group of answer choices the lower…

A: What is credit score? It is a score that ranges from 300 to 850 and it represents the credit…

Q: Write down how ROE, the single best accounting measure, can be split into three different categories…

A: A financial ratio, also known as an accounting ratio, is the magnitude of two numerical values taken…

Q: What is a line of credit? Give three examples?

A: Line of credit is the borrowing limit available to a customer by the bank. The customer can borrow…

Q: based on the statement List down true or false and explain 1. Major part of lending process…

A: The lending process refers to the steps that a lender takes to evaluate a borrower's…

Q: What is the present value of $39,000 to be received at the end of each of 20 periods, discounted at…

A: A financial calculation called present value, also known as discounted value, determines the value…

Q: Explain what important information we can get from each sources of credit information to be able to…

A: Financial organizations seek to reduce the risk of supplying to borrowers by completing a credit…

Q: Which of the following is not a company that can provide you with a look at your credit score? a.…

A: There are three companies given in the question which are working in the credit field: Credit Karma…

Q: What is a sale on credit and why it is needed? Give three examples?

A: Sale on Credit: A sale on credit is revenue earned by a company when it sells goods and allows the…

Q: Credit scoring is the:

A: Credit scoring: It is a statistical analysis done by financial institutions and lenders to decide a…

Q: What is the purpose of financial statement analysis?

A: Financial statement depicts the true financial position of any company, by preparing balance sheet,…

Q: True or False: The amount-owed component of the FICO score includes the proportion of credit…

A: Below is the correct answer

Q: When a financial decides offer credit, there are certain factors that it will used as a basis for…

A: Financial institutions rely upon four Cs when they process the application for any kind of loan.…

Q: Discuss, in general, what it means for the brothersto set a credit and collections policy

A: Answer: Credit and collection policy refers to the laws and regulations of the company governing the…

Q: Describe at least three problems encountered in the analysis of financial indicators.

A: Financial indicators are utilized by firms almost everywhere and in all sizes in order to provide…

Q: Can you allow credit period for an unknown customer based on the report of a credit rating agency?

A: A credit rating agency report may provide some information that could be used to assess the risk of…

Q: Financial ratios can be divided into four categories, depending upon the purpose of the analysis.…

A: Financial ratios are powerful tools used to assess a company's performance, financial health, and…

Q: One article  regarding  "Credit Transaction" issues and how it was resolved. Make a comment about…

A: To charge whatever they wish for credit. Usury laws set up a greatest pace of legitimate interest.…

Q: What is the present value of $5,800 to be received at the beginning of each of 30 periods,…

A: Given: Particulars Amount Amount $5,800 Years 30 Interest rate 11%

Q: What are the four elements of a credit policy? Briefly explain.

A: Following are the four elements of a credit policy: Credit standards: Consider potential clients by…

Q: What is the difference between the Metric System and the Imperial? Describe what an Orthographic…

A: As per our guidelines we are supposed to answer only one question (if there are multiple questions…

Q: What are the three major rating companies and differentiate the three on how to rate?

A: There are three big ratings agencies which provide the ratings for bonds and debts which are quite…

Q: Financial information have different group of users. Mention any six (6) groups of financial…

A: 1.  Investor- for  deciding whether to invest in the particular entity or not by analyzing the…

Q: Of the three financial ratios, which do you think is the most important financial ratio? Why?

A: A financial ratio is used to calculate the financial position as compared to the other firms in the…

Q: While analyzing a financial reporting problem, demonstrate the three basic methods of matching…

A: The financial reporting has been analyzed by comparing the financial statement of 2 accounting…

Q: Discuss 5 areas in life where your credit score could be checked and thus impact the purchase/event

A: Credit score is a number ranging between  300 to 850 . Credit score of  300 indicates poor rating…

Q: escribe and assess three banking services that a   Bank  offers .

A: Banking are important back bone of the any country and good banking is quite necessary for the…

Q: Give an overview of the main types of orders you can have within a financial market in terms of…

A: A financial market is a marketplace where financial assets such as stocks, bonds, currencies, and…

Q: explain the five (5) Cs of Credit.

A: The five (5) Cs credit method is the method used to assess the credit worthiness of the borrower…

Q: Write your understanding about the different financial ratios. Discuss atleast 10 financial

A: The ratio represents the comparison of two items of the financial statement of the company.

Q: Explain whati mportant information we can get from each sources of credit information to be able to…

A: The answer is given below:

Q: Explain the purpose of credit rating. Explain the variables of industry analysis, which is the first…

A: The question based on the need and process of credit rating. Credit rating is process to check the…

Q: List three entities that with legitimate reasons could check your credit report.

A: A credit report is a detailed summary of an individual's credit history. It contains information…

Q: Discuss one dimension of financial statement analysis. Explain one technique for analyzing financial…

A: The practice of studying financial documents to get additional knowledge about a company's…