The yield to maturity associated

with the bid is equal to …

a)    8.71%.

b)    8.78%.

c)    8.86%.

d)    8.93%

The managing

directors of Non-Barbalas Beer Ltd, a manufacturer and distributor of alcoholic

beverages located in Rosslyn, stated that the company’s 

Based on

Non-Barbalas Beer Ltd information above, the business portrays or exemplifies a

good example of …

1. complete decentralisation.
2. incomplete decentration.
3. complete centralisation.
4. incomplete centralisation.

1.    a

and b

2.    b

and c

3.    c

and d

4.    b

and d

QUESTION 5

Which of the

following statements correctly describes the disadvantage of cash

concentration?

1. Sweeping cash to different

   subsidiaries or sub-accounts can delay payments if it is not done in real

   time.

2. It enforces a bureaucratic

   management approach where subsidiaries have less autonomy.

3. It enhances ACH to clear

   cash and transfers it electronically and rapidly.

4. It may expose the business

   to liquidity risk at the sub-account level.

1.    a,

b and c

2.    a,

b and d

3.    b,

c and d

4.    a,

c and d

QUESTION 2

The most popular method of

handling a cash surplus is using capital market financial instruments.

A.    True

QUESTION 1

The most popular method of handling a cash surplus is through the use of

capital market financial instruments.

A.    True

B.    False