ACI ACI-Financial 3I0-012 New Questions

ACI Dealing Certificate Questions and Answers

Question 69

Which of the following is true regarding the consummation of a deal?

verbal agreements are considered binding

written confirmations always override terms verbally agreed to

deals agreed to verbally can be done subject to documentation

verbal agreements are never to be considered legally binding

Question 70

What is the meaning of CCP within the Basel framework?

Collateralized Clearing Process

Central Clearing Counterparty

Collateralized Counterparty Protection

Collateralized Credit Protection

Question 71

How would you delta hedge a deeply “in-the-money” short put option?

Go short of the underlying commodity equal to 50% of the size of the option contract

Go long of the underlying commodity equal to 50% of the size of the option contract

Go long of the underlying commodity equal to more than 50% of the full size of the option contract

Go short of the underlying commodity equal to more than 5O% of the full size of the option contract

Question 72

Net funding requirements in liquidity management are determined by means of:

adding up expected vault cash outflows, ATMs and other cash points operated by the institution across all branches

establishing a forward cash flow plan that takes account of all contractual and behavioral cash flows related to assets and liabilities

the net cash flow from investment activities in the IFRS consolidated Statement of Cash Flows for prior periods

subtracting short-term liabilities from short-term assets