Assignment 21-Describe the followings in your own words: (2m
Assignment 21-Describe the followings in your own words: (2marks)AWhat is Fair Value Accounting?BWhat Is Fair Market Value Accounting? How the FASB is going to standardize the calculation of financial instruments by looking at their historical cost?2- What do you mean by loan loss provision? Why Does a Loan Loss Provision Matter? Andhow does a loan loss provision work? (1.5 mark)3- How to differentiate liquid risk and Credit Risk with reference to the financial economics sector and how the interest rate risk make an impact on the economy? (1.5mark)_________________________________________________________________________________Q1. Explain how do Commercial banks resemble securities firms and explain the special nature for structures of their financial statements. (5.0 marks)Q2. List methods financial institutions may disclose their exposure to each type of market risk and explain Value-at-risk approach (5.0 marks)
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