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NEW QUESTION: 1
A charity has unaudited accounts. Which of the following represents the highest risk factor for terrorist financing?
A. Frequent deposits from third parties into the charity's bank account.
B. An international board composed of politically exposed persons.
C. Frequent changes to the senior management of the charity.
D. Disbursement of funds to entities unrelated to the purpose of the charity.
Answer: A
NEW QUESTION: 2
A 15 year bond is trading at par. Its modified duration is 11 years and convexity is 80. Determine the price of the bond following a 10 basis point increase in interest rates
A. $98.904
B. $101.096
C. $101.104
D. $98.90
Answer: A
Explanation:
Explanation
The change in the price of the bond will be equal to $100* (-11*0.1% + 0.5* 80 *(0.1%)