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NEW QUESTION: 1
If A and B be two debt securities, which of the following is true?
A. The probability of simultaneous default of A and B is greatest when their default correlation is +1
B. The probability of simultaneous default of A and B is greatest when their default correlation is 0
C. The probability of simultaneous default of A and B is greatest when their default correlation is negative
D. The probability of simultaneous default of A and B is not dependent upon their default correlations, but on their marginal probabilities of default
Answer: A
Explanation:
Explanation
If the marginal probability of default of two securities A and B is P(A) and P(B), then the probability of both of them defaulting together is affected by the default correlation between them. Marginal probability of default means the probability of default of each security on a standalone basis, ie, the probability of default of one security without considering the other security.
The relationship that expresses the probability of joint default of the two is given by the following expression:
It is easy to see that in a situation where the Default Correlation of A & B = 0, ie, the defaults are independent, the combined probability of default is P(A)*P(B), exactly what we would intuitively expect. Also in the other extreme case where the default correlation is equal to 1 and P(A) = P(B) = p, ie the securities behave in an identical way, the expression resolves to just p, which is what we would expect.
From the above relationship, it is clear that the probability of joint default of A and B is the greatest when default correlation between the two is equal to 1, ie the securities behave in an identical way. Therefore Choice
'a' is the correct answer.
NEW QUESTION: 2
Which of the following policies helps in defining what users can and should do to use network and organization's computer equipment?
A. IT policy
B. General policy
C. Remote access policy
D. User policy
Answer: D
Explanation:
A user policy helps in defining what users can and should do to use network and organization's computer equipment. It also defines what limitations are put on users for maintaining the network secure such as whether users can install programs on their workstations, types of programs users are using, and how users can access data. Answer option C is incorrect. IT policy includes general policies for the IT department. These policies are intended to keep the network secure and stable. It includes the following: Virus incident and security incident Backup policy Client update policies Server configuration, patch update, and modification policies (security) Firewall policies Dmz policy, email retention, and auto forwarded email policy Answer option A is incorrect. It defines the high level program policy and business continuity plan. Answer option B is incorrect. Remote access policy is a document that outlines and defines acceptable methods of remotely connecting to the internal network.
NEW QUESTION: 3
IS 감사인은 데이터베이스 관리 시스템 (DBMS)의 감사 로그를 분석하여 일부 트랜잭션이 오류의 결과로 부분적으로 실행되었고 롤백되지 않았 음을 찾습니다. 다음 중 어떤 트랜잭션 처리 기능을 위반 했습니까?
A. 내구성
B. 원자성
C. 일관성
D. 격리
Answer: B
Explanation:
설명:
Atomicity는 전체 트랜잭션이 처리되거나 트랜잭션이 처리되지 않음을 보장합니다. 일관성은 트랜잭션이 시작되고 끝날 때 데이터베이스가 합법적 인 상태에 있음을 보장하고, 격리는 중간 상태에서 트랜잭션 데이터가 외부 작업에 보이지 않는다는 것을 의미합니다. 내구성은 성공적인 트랜잭션이 지속되고 실행 취소 될 수 없음을 보장합니다.
NEW QUESTION: 4
For a revolving-in-time LC that was issued on January 1,2014 with a reinstatement frequency of 60 days, what would be the next reinstatement date? (Choose the best answer.)
A. February 28, 2014
B. March 1.2014
C. March 2. 2014
D. None. LCs cannot revolve in time.
Answer: C
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