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NEW QUESTION: 1
What would be the consequences of a model of economic risk capital calculation that weighs all loans equally regardless of the credit rating of the counterparty?
I. Create an incentive to lend to the riskiest borrowers
II. Create an incentive to lend to the safest borrowers
III. Overstate economic capital requirements
IV. Understate economic capital requirements
A. I only
B. II and III
C. I and IV
D. III only
Answer: C
Explanation:
Explanation
If capital calculations are done in a standard way regardless of risk (as reflected by credit ratings), then it creates a perverse incentive for the lenders' employees to lend to the riskiest borrowers that offer the highest expected returns as there is no incentive to 'save' on economic capital requirements that are equal for both safe and unsafe borrowers. Therefore statement I is correct.
Given that the portfolio of such an institution is likely to then comprise poor quality borrowers, and economic capital would be based upon 'average' expected ratings, it is likely to carry lower economic capital given its exposures. Therefore any such economic risk capital model is likely to understate economic capital requirements. Therefore statement IV is correct.
Statements II and III are incorrect and Choice 'b' is the correct answer.

NEW QUESTION: 2
IBM Tivoli Netcool/OMNIbus V7 4 core components are being installed on a server running 64-bit SUSE Linux.Theserverhardware consists of 8 CPUs (2.4 GHz), 16 GB RAM, and 2500 GB disks.The software will be installed usingthe Typical installation option.
The IBM Prerequisite Scanner should be run on this system to ensure what is correct on the server?
A. the correct user to perform the installation
B. the correct hardware, operating system, and software
C. the correct kernel parameters
D. the correct host name, DNS resolution, and port availability
Answer: B

NEW QUESTION: 3
DRAG DROP
You are planning to set up a proof-of-concept network virtualization environment.
The environment will contain three servers. The servers will be configured as shown in the following table.

VMM will be used to manage the virtualization environment. Server2 runs three virtual machines. All of the virtual machines are configured to use network virtualization.
You need to enable network connectivity between the virtual machines and Server3.
Which four actions should you perform in sequence? To answer, move the appropriate actions from the list of actions to the answer area and arrange them in the correct order.
Select and Place:

Answer:
Explanation:

Explanation/Reference:
Explanation:
References: https://technet.microsoft.com/en-us/library/dn249417.aspx

NEW QUESTION: 4
A company named Contoso, Ltd has five Hyper-V hosts that are configured as shown in the following table.

What are two valid live migration scenarios for virtual machines in your environment? Each correct answer presents a complete solution.
A. from Server3 to Server4
B. from Server2 to Server3
C. from Server4 to Server5
D. from Server1 to Server5
Answer: B,D
Explanation:
Explanation/Reference:
References: https://docs.microsoft.com/en-us/windows-server/virtualization/hyper-v/deploy/set-up-hosts- for-live-migration-without-failover-clustering

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