See Below. I also have a Word Document which has research notes Essay

See Below. I additionally have a Word Document which has research notes - Essay Example A beneficial diversion, on the off chance that it remains along these lines, normally will turn into a business. This doesn't imply that a business ought to consistently make huge pay and keep on keeping up the graceful quite a long time after year. Misfortunes are allowed in each business; however they as a rule achieve the type of a consistent stream where misfortunes the benefit are consolidated. Business isn't totally limited by deals, benefit or time period; all things considered, the underlying acknowledgment of the movement as a business matter a great deal for the citizen and this acknowledgment is guided by the business rationale of making benefit, despite the fact that it regularly neglects to arrive at the desires. In actuality, a side interest need not show any benefit and can stay a wellspring of delight, diversion and fun. Side interest contacts the innovative and creative mind of the individual, while business is associated with the dry budgetary gratification1. In a s ide interest, the individual isn't liable to anybody, since it's anything but a benefit making adventure. While business is any calling, exchange, production, or undertaking carried on for monetary benefit, hobb is an action led principally for private joy or amusement. http://www.mcleanandco.co.nz/Page115.htm Coming back to your pony ranch, if misfortunes are proceeding with consistently, past a specific business rationale, it isn't unnatural that IRS, in the wake of reviewing, set it under the classification of Hobbies. Talking from the money related/charge perspective, any desire for deducting the costs would stop here, while the endeavor stays a costly and inventive action of self-satisfaction2. Our recommendation is that as opposed to battling the case now, it is reasonable to sit tight for the last assurance letter and afterward, outfitted with all the classified data, you can begin noting the focuses to restore the business angle3. At this moment, it is hard to understand the grounds on which the categorisation is done, in spite of the fact that we can figure; rather, it will be far simpler for you to answer the categorisation. To do as such, you, as a businessperson ought to have the option to show the business way and the persuading trust regarding achieving such an objective, which will carry the homestead into the business-crease. Twenty ponies that you keep up on fifty sections of land of land, and the time that you spend on this ranch, particularly since your home involves three sections of land of the whole land ought not be very trouble to contend that they all fall under the business class. Not having any benefit over the most recent six years, and your explanation that you spend just a fourth of your time on the homestead, would normally lead IRS to rule for pastime, denying the undeniable business status4. In our counter-contention, we will commandingly contend that recruited hands were ceaselessly chipping away at the ranch in your nonappearance and thinking about the circumstance of your home in the homestead, you have invested considerably more energy than a fourth of it, since you lived on th e homestead and took care of the homestead obligations whenever as indicated by the need and this incorporates the crisis, ailment, clinical consideration and so forth that you may have gone to during the evenings and this contention is entirely satisfactory, as IRS realizes that domesticated animals need consideration past working hours. From the benefit making point, it must be contended that benefit was illusive every one of these years, in light of the fact that the ponies were youthful and were at the developing stage. Just now, they have begun delivering colts and

Reconstruction and African Americans from 1865-1900

Remaking and African Americans from 1865-1900 From 1865 to 1900, Reconstruction was intended to help change the lives of African Americas. Notwithstanding, as a result of partiality, Reconstruction didn’t go on to the extent it could have. Remaking attempted to convey its vows to African Americans while fighting an oppressive white America. This is seen socially, through social equality, and strategically, through Jim Crow Laws and casting a ballot. Concerning social guarantees, Reconstruction rolled out surprising improvements for African Americans; this is apparent in papers and the Civil Rights Act of 1875.White Americans were getting increasingly thoughtful to the necessities of African Americans, or if nothing else white columnists were. Papers started to print stories and pictures made to attract compassion to the dark man and outrage towards the KKK, for example, in Harper’s Weekly’s â€Å"One Less Vote† (Doc A, F). The Civil Rights Act of 1875 perm itted every resident fairness, no more isolation in lodgings, cafés, open theaters, and so forth , yet it wasn’t followed by everybody. Entrepreneurs were not willing to de-isolate, and the ones who were willing lost white business.White people stayed one-sided, making it unimaginable for African Americans to have fairness. White inclination didn’t prevent the American government from making political move to ensure African Americans. The fourteenth and fifteenth Amendments endeavored to stop separation; the fourteenth Amendment gave security of benefits for blacks and the fifteenth Amendment gave them the option to cast a ballot. Due to changes, African Americans were legitimately permitted to cast a ballot. This acquired festival African American people group, presently they could have political impact. In any case, mostly in the South, blacks were undermined and even slaughtered for going to vote.Opposing government changes, for example, the Amendments, was the Dee p South. The Jim Crow Laws were passed; by isolation, restricting individuals to try and discussion about correspondence, and between racial marriage, equity was prohibited. Socially there was more acknowledgment. Politically there was more opportunity. Reproduction alleviated a significant number of the African Americans’ troubles. Generally, Reconstruction during 1865 to 1900 could have gone a lot farther. On the off chance that it were not for the antagonistic vibe communicated towards the fairness of the races, Reconstruction could have immediately given the blacks their opportunities.

Eliezer’s Relationship with God in Night

Holding tight: The Description of Eliezer's Relationship with God in Night World War II breaks out in Europe during the finish of the 1930s. Adolph Hitler dives Germany into obscurity while rapidly moving to take over circumscribing nations with his military of Nazis. Eliezer, a kid close to 15 years of age, lives in Hungary, which is hazardously near Germany. Alongside numerous different Jews, Eliezer is extradited from his home and into a universe of incredible fear. Night is a diary of those encounters and, all the more significantly, an unmistakable update that these occasions ought to never be permitted to rehash themselves.The Holocaust presents one of the most upsetting philosophical predicaments of the twentieth century. As an overcomer of the Holocaust, Elie Wiesel needs to rethink God in his reality. He does as such through his compositions, in which he addresses God and lets us know of the appropriate responses, or absence of answers, that he gets. In Night, writer Elie Wi esel expounds on his dedication as a kid, strict observances, and outrage towards God to uncover how he is as yet an adherent to the Jewish confidence in spite of all that transpire. Auschwitz, Buchenwald, and Treblinka are only a couple of the names which inspire bad dreams of the Holocaust.The enduring and passing at these and other inhumane imprisonments were more prominent than any before persevered. Before the Holocaust he had been one of the most dedicated Jewish youngsters. The Holocaust made a void in the spirits of a large number of the individuals who endure. Elie Wiesel was one of those individuals. Before the Holocaust he had been one of the most passionate Jewish kids. Up until the end he trusted that God will mediate in Biblical style. At the point when that mediation was not approaching, he started to question in God and in His kindness. He started to blame God for brutality against his people.After the torment was finished, he needed to reexamine the job of God in hi s life. He could be pardoning of God and permit Him one more opportunity, the same number of he had seen had done. Or then again he could assume the job of God to himself and attempt to characterize his own predetermination. To manage this, Wiesel needs to address God and himself. He does as such through his composition. Elie Wiesel recounts to his awful story of his detainment in Nazi Germany. He defeated the chances with his quality and will to live. Elie was advised by his dad to never lose his confidence of his religion it would help him through everything, and keep him strong.One ought to never lose confidence or whatever directing power that may prop them up. This confidence was the main power that encouraged Elie to endure, and without this confidence Elie would have unquestionably surrendered to passing on. The inquiry currently is the means by which far does Elie’s confidence in God and in his own confidence causes him to go on. He gets numerous answers, however none are good. Wiesel thought of God previously and during the Holocaust as both the defender and punisher of the Jewish individuals. Whatever had occurred previously, he had confidence that it was for their acceptable, or one of God's more prominent plans.Either way, he would acknowledge God's will without addressing. At the point when bits of gossip about the Nazis' violations initially arrived at a portion of the remote Jewish towns, similar to Wiesel's Sighet, nobody trusted them. The town felt that God was with them and would shield them from anything as terrible as what these bits of gossip proposed. They had a sense of security and secure in their confidence. â€Å"And we, the Jews of Sighet, were hanging tight for more promising times, which would not be long in coming now†(17). Other people who didn't feel remorseful accepted that God in any event had a valid justification for rebuffing the Jews. They figured it must be a test. God is trying us. He needs to see if we can rule our base senses and slaughter the Satan inside us. We reserve no privilege to surrender. Furthermore, on the off chance that he rebuffs us persistently, it's an indication that he cherishes every one of us the more†(53). Confidence deferred the insurgency that may have emitted in the camps. The more youthful individuals felt it is smarter to pass on battling than to go like sheep to the butcher. They had blades and a solid will. Be that as it may, their older folks reminded them, â€Å"You should never lose confidence, in any event, when the blade hangs over your head. That is the instructing of our sages†¦ †(40).As long as the seniors were happy to acknowledge God's will, the more youthful individuals were eager to regard their confidence. They despite everything had confidence that God had a more noteworthy reason as a main priority, and however they restricted misery, they would endure proudly that they are a piece of God's arrangement. Thus Wiesel and his town were influenced without episode into the camps, accepting that if their confidence suffered, they would be spared. Before long the fancies blurred and Wiesel started to question God. It was difficult for Wiesel to question in God, or he would not have clutched his confidence with such tenacity.But at some point or another, the appearing inaneness of the enduring his kin suffered needed to blast into the cognizance of his apparently dauntless Jewish confidence. Even with the crematory pit, Elie Wiesel noted, â€Å"For the first occasion when I felt revolt ascend in me. For what reason would it be advisable for me to favor His name? The Eternal, Lord of the Universe, the All-Powerful and Terrible, was quiet. What had I to express gratitude toward Him for? †(42). He got up to the possibility that he was â€Å"alone-awfully alone in a world without God†¦ †(75). Absence of confidence went rapidly to surrender. In the event that God wouldn't spare His kids, who mi ght? Nobody accepted the bits of gossip about harmony and safety.In the medical clinic at Auschwitz, Wiesel met a man overwhelmed by this sort of hopelessness. He stated, €Å"i have more confidence in Hitler than in any other individual. He's the one in particular who's stayed faithful to his obligations, every one of his guarantees, to the Jewish individuals. †(87). All around Wiesel, the quantity of unwavering were dropping. As hard as they attempted to hang tight, Wiesel's kin were thinking that its difficult to put stock in God and what He was permitting to occur. Others, similar to Wiesel, were given the weight of conveying the inquiries with them, never to be replied. At the hanging of the heavenly attendant confronted pipel, Wiesel had an answer, when somebody asked, † ‘Where is God now? Also, I heard a voice inside me answer him: ‘Where right? Here He will be He is hanging here on this gallows†¦ ‘ †(72). God kicked the bucket for t he youngster Wiesel at that point. The pulverization of his confidence in the God of his adolescence was finished. No longer did his name bring cries of recognition from Wiesel. God appeared to be dishonorable even with His admirers to acknowledge their love. Wiesel can't deny God His due. In the event that anything he can examine it and feel furious concerning it. He can even attempt to transform it, by reexamining God's job on the planet. That is the thing that a significant number of those he experienced did once they got over the underlying anger.Any answer can't emerge out of man, however from God himself. This is the thing that Moshe the Beadle had attempted to reveal to Wiesel when he was a little fellow in Sighet, before the dread of the Holocaust annihilated his life. Moshe stated, â€Å"Man raises himself toward God by the inquiries he pose Him†¦ That is the genuine exchange. Man addresses God and God answers. Be that as it may, we don't comprehend His answers. We ca n't get them. Since they originate from the profundities of the spirit, and they remain there til' the very end. You will locate the genuine answers, Eliezer, just inside yourself! †(15). There can be no limit to the scrutinizing, regardless of whether there are no answers.In perusing crafted by Elie Wiesel, I needed to ask God a portion of similar inquiries that he did. The tempest of feeling followed the ways of outrage and despair, lastly finished with the acknowledgment that Elie Wiesel finds. God isn't anything but difficult to make sense of, and he never will be. With all our insight, we can't speculate his explanations behind busy. I will wonder constantly what occurred, and, all the more significantly, why, however I will rest discreetly, as long as when I wake I watch to see that there isn't another Holocaust, and I implore God that whatever the explanations behind the first, there never will be a second.The Holocaust introduced a call to individuals wherever to recon sider the job of God in their lives. The torment and enduring that we know occurred is in dull differentiation to what we would have thought conceivable within the sight of our God, and any individual who interacts with these repulsions will be perpetually shaken in his current confidence. Some have responded with outrage toward God, others with refusal. Still others responded with question of all that God had implied previously. In any case, by posing inquiries, some have developed to discover that God never did things the manner in which individuals anticipate that Him should, and that reality turns into the foundation of the new beginning to their theology.God doesn't respond to questions except if they suit His motivations. This is the thing that we have gained from Auschwitz and from the compositions of Elie Wiesel. We should keep on posing inquiries, keep on testing God, until, at some point, He Himself will offer us the responses. What's more, up to that point we ought to nev er have a sense of safety in confidence as to believe that Auschwitz would never happen again. We should make sure, through our activities, that it will never happen again and to never lose the confidence that has been given to God.

The Strange Case of Dr. Jekyll and Mr. Hyde by R. L. Stevenson Essay Example for Free

The Strange Case of Dr. Jekyll and Mr. Hyde by R. L. Stevenson Essay While Stevensons Jekyll and Hyde is an impression of the occasions where it is set in, it additionally has significant pertinence for the cutting edge peruser. Do you concur? The Strange Case of Dr. Jekyll and Mr. Hyde by R. L. Stevenson was first distributed in 1886, during the Victorian period. The epic gives the peruser an extremely distinctive image of the thoughts and ways of life of the individuals in that time. The book is an impression of times and has extensive importance for the advanced peruser. I somewhat concur with the way that the book has importance for the cutting edge peruser. Stevensons principle motivation for The abnormal instance of Dr. Jekyll and Mr. Hyde originated from the life of Deacon William Brodie. He moved effectively among the upper class during the day and magnified in criminal adventures around evening time. He was a regarded individual from the Town Council, and his gifts as a bureau creator were notable and increased in value by well off citizenry. Around evening time he meandered the dull and risky lanes of Edinburgh. He much of the time visited many betting and prostitute houses. His life was one of incredible enthusiasm at that point, particularly after his catch. The enthusiasm for Brodies life even motivated Stevenson to compose a play about his life, this identifies with the expanding enthusiasm for awfulness stories in todays world. The riddle of his passing despite everything waits, while enthusiasm about his life keeps on developing. In 1859, a book approached the Origin of Species by Charles Darwin was distributed. The book embedded into the brains of the Victorian individuals that man had developed from primates. Consequently we see the successive references to Mr. Hydes creature attributes all through the book. The creator makes Mr. Hyde appear to be not exactly a completely developed man, more much the same as creatures than the remainder of humanity and he depicts this through the symbolism of Mr. Hydes animalism. At the point when Mr. Utterson first goes up against him outside the lab access to Dr. Jekylls house, he is supposed to be taking in breath with a murmuring sound, similar to that of a snake being cornered. Poole, Dr. Jekylls head servant, portrays his cry like that of a rodent and his developments like a monkey; his shouts are depicted as simple creature dread. In his Full Statement of the Case Dr. Jekyll says that his liberal life which was fastened, started to snarl, much the same as a creature that has been bound for quite a while. He likewise says that his double character resembles the creature inside me licking the hacks of memory. The Victorian perusers would be acquainted with these portrayals of individuals. In any case, an advanced peruser wouldnt concur with the way that man had developed from gorillas as science has demonstrated that isnt so. Be that as it may, we do see the creature in man assuming control over our activities, as we have seen the barbaric treatment conveyed to officers by their individual troopers in the World Wars. Self destruction aircraft and fear monger assaults also are present day activities portraying the monster in man assuming control over the human character. The Strange Case of Dr. Jekyll and Mr. Hyde likewise mirrors the lip service of the Victorian time. Being a MP, his demise would have excited a great deal of interest among the individuals. By helping Mr. Utterson, Inspector Newmans name would be made mainstream, particularly in the event that he found the crook. Consequently while he needed assistance carry the MPs killer to equity, he was additionally improving his expert name. This mentality reflects human instinct. Each individual has a detestable side to their tendency, Mr. Hyde uncovers this side of our inclination to society. By needing to slaughter him, Poole, Mr. Utterson and the dad of the young lady who was stomped on upon, were unwittingly dismissing and executing a piece of their actual selves; and are unknowingly liable of false reverence. This type of deception is as yet basic today, where individuals realize that they are doing isn't right yet decide to deny the reality and proceed with their activities. These men realized that there was a shrewd side to their temperament yet decide to overlook the reality. The topic of false reverence is found in the servant that Dr. Jekyll had utilized in the Soho house, which was to be Mr. Hydes home, as she was known to be quiet. Be that as it may, when Mr. Utterson and Inspector Newman show up after the homicide of Sir Danvers to review the house, she appears to be enchanted with the way that her lord is in a tough situation, A blaze of euphoria showed up upon the womans face.. Dr. Jekyll is probably the best case of pietism in the book, as he neglects to acknowledge that the malevolent side of his tendency was a characteristic piece of his character; this refusal prompted his emergency. He likewise had two countenances or rather wore an open cover, which depicted him as a truly beneficent and kind man. While in private he was submitting murder and stomping all over little youngsters for reasons unknown. We also are liable of pietism. We use individuals who are more vulnerable than us to our advantage; here and there our disavowal of specific realities causes us also to be blameworthy of pietism, and now and again can prompt our disfigurement. Stevensons book takes a gander at the duality of human instinct, the great and underhandedness sides which are inside us all. The creator is dissecting the results of underlining a lot of some side of our tendency. The topic of duality in keeps an eye on nature is overwhelming in the novel. The subject is an exceptionally ground-breaking portrayal of the nineteenth century inconsistency of outward decency and internal desire, it likewise assumed a significant job in the creators life. We see the topic being portrayed in Dr. Jekylls endeavors in isolating the two components of a people nature. This topic is chiefly found in the characters of Dr. Jekyll and Mr. Hyde, Dr. Jekylls open picture was one of a regarded doctor and physicist, somebody who was regarded by everybody he interacted with. He was naturally introduced to a prosperous family and consequently had decent training. He would likewise take care of business of high thoughtfulness and with great taste. In the event that Dr. Jekyll was to release his malevolent side, individuals would have been shocked with his conduct, as there was a sure level of conduct that must be kept up among high positioning citizenry, such as himself. So as to stay away from this defacing, he made Mr. Hyde. When released Mr. Hyde perpetrated some extremely malevolent wrongdoings. The creator gives us subtleties of just two of these occurrences. The principal, where he stomped on over a young lady for reasons unknown and left. Leaving her injured and powerless in the city. The second, the homicide of Sir Danvers Carew. The subject of duality in a people character, is all inclusive. Individuals are continually attempting to conceal their actual selves out of dread that they may not get acknowledged into society, since people groups singularity isnt regarded. Individuals are required to be much the same as another person. The pictures of the road that Dr. Jekyll lived on additionally add to the topic of duality. The road is portrayed to have newly painted shades, very much cleaned brasses and general neatness and jollity of note, in a flash got and satisfied the attention of the traveler. Two entryways from one corner, on the left hand going east, the line was broken by the section of a court; and exactly by then, a vile square of building push forward its peak in the city. The structure is said to have no window, only an entryway on the lower story and a visually impaired brow of stained divider on the upper.. The culpable segment of the road is the passage that Mr. Hyde utilized, while Dr. Jekyll utilized the primary square passageway. Today too roads have two natures. In the day it might be a road with flourishing exchange, however when obscurity falls the exchange becomes demonstrations of wrongdoing. The absence of a main leady in the novel speaks to the male predominant Victorian culture. This appears differently in relation to todays society, where the womans spot and job is gradually ascending from that of the home producer, to assuming a job as significant as that of the male. In the Victorian time the lady was just expected to have a family. As an individual from the privileged then she would enjoy her interests for the greater part of the day. Or then again as an individual from the lower class she would hold the situation of house cleaner hireling in the place of an individual from the high society. This thought compares with the advanced thought of the womans place in the public arena. Today ladies have made sure about situations in all fields of life. The advanced peruser will be extremely acquainted with the possibility that concealment prompts viciousness. We see this thought being depicted in the novel too. R. L. Stevenson likewise utilizes symbolism to delineate this thought and help the peruser envision the message he is attempting to pass on. We are informed that all the windows in Dr. Jekylls house have iron bars on them. These are images of his self detainment. His enthusiasm for flighty science, prompted his dear companion Dr. Lanyon to cut off their expert association to end, and made their neighborly bond float further. The Victorian societys limitations, that is the sure degree of conduct that an individual from a prosperous family needed to keep up consistently; and Dr. Jekylls sentiments of detainment spurred his perilous investigations to make Mr. Hyde, or a detestable twin as it would be known in present day days. When Dr. Jekyll keeps himself from transforming himself into Mr. Hyde, the aftereffect of the concealment was his killing Sir Danvers Carew. His refusal of the way that a people detestable side can't be isolated from their character, his trials which indicated that the two components a be isolated, and his ineffective endeavors of keeping himself from taking the medication to change into Mr. Hyde causes his inevitable annihilation. The enthusiasm for life systems and synthetic substances is additionally regular in present day times. The man who claimed Dr. Jekylls house before him was a specialist. Consequently the nearness of the research center. Dr. Jekyll was a scientist by calling, and his activity was identified with the human body. He needed to demonstrate that man isn't genuinely one, however two. He needed to isolate the two components, and house them in various personalities and assuaging the universe of the terrible. This thought is like that in Mary Shellys Frankenstein; that is man playing God. This is an extremely normal thought tod

Bank One Financial Case Study Sample

Bank One Financial Case Study Sample Bank One Financial Case Study Aug 13, 2019 in Case Studies Introduction Bank One has been an asset and liability management company operating in the United States giving out loans and funding mortgage to its customers across the wide divide. It is headquartered in Columbus, Ohio with regional presence in 12 states. The bank operated with $76.5 billion in assets, which made it the eighth largest bank in the US and the largest holding bank in Ohio. The bank had 78 affiliates operating as subsidiaries and other 10 non-banking organizations in its business operations. The strategy of the company was to concentrate on the retail markets and the middle-market commercial customers; enhancing customer service and managing the affiliates using technology, and acquisition of new profit-making banks. How did Bank One Manage Interest Rate risks? Cite and Briefly Explain one of the Examples given in the Case Bank One had interests in the investment of the derivatives where it had taken more than the required amount with cases of overstating its margins and return on assets by 1.31% and 0.20% respectively. The Bank also was creating a decline in its tangible equity-to-asset ratio by 1.55% after adjustments were done. It had continued to grow its derivative portfolio risks with an increase from $23.4 billion to $31.5 billion within one quarter in its notional principal. The bank had a policy of acquiring other holding banks while maintaining their operations to add into its assets thus managing the interest rates. The bank had to match the asset maturity with its liabilities to control the interest rates (Esty, Turano Headley, 2008, p.4). The bank had used the tactic of matching the interest rates with the contractual maturity of its financial commitments for over 24 years thus balancing the assets, and the liabilities ensured the interest rate was maintained. Keeping enough funds in liqu id investments for quick reaction to cash demands, controlling exposed interest rates and earnings from swings, and controlling the banks capital when achieving its targets ensured the banks interests rates were in control. Measuring maturity gap was also used to detect and predict interest rates growing. Chat now Order now What are the Regulations that Affected Bank One Capital Requirements? The Tax Reform Act passed in 1986 had effect on the performance of financial institutions including Bank One. The tax reform enables the banks to scrap the deductions used as expenses on interests while financing municipal bond investment. There is the office of the US Comptroller of the currency that hives guidelines and regulations to national banks. The comptroller issued directives for swaps and other financial strategies used by the national banks. Another controlling body was the Financial Accounting Standards Board (FASB) that required minimal disclosure of the Banks swap portfolio as they acted like off-balance-sheet properties. Bank One had voluntarily disclosed the swap portfolios against the FASB regulation. The Case Mentions Risk-adjusted Capital Requirements for Different Categories of Assets with Different Weights based on their risk. Do you think those are Justified? Yes, they are justified as different assets may require different conditions in their financing. As quoted on page 5, Bank Ones basic portfolios were asset sensitive apart from its balance sheet. This indicated that changes in the asset dealing could translate to huge changes in financial gains or losses. Since most of the assets were indexed to the prime rate, any change on the Interest rate could bring large changes due to its sensitivity. To factor in the small changes, the risk-adjustment capital requirements had to be tailor-made to fit the situation. The use of simulations to cater for interest changes advocated for different risk-adjusted capital requirements. The difference in maturity of the assets and the liabilities called for the maturity gap analysis, which ensured that the interest margin is maintained, and therefore, the margin of earnings made secure from the transactions. There were advantages that Bank One had by using swap system for financial liabilities and asset s. This enabled more and improved banks liquidity; the financial statements would appear convincing as the swap application would feature on the income statement but not on the balance sheet. How did Bank One avoid Capital Requirements? Bank One reduced the need of capital to further their objectives by adopting swap application. Swap, against the other conventional securities investments, reduces the amount needed to invest while meeting a set objective. The capital requirements arose from international agreement held at Basel referred to as Basel Accord, which had been signed by national and international bankers. Since swaps were off-the balance sheet transactions, the bank would use the swap money to invest and achieve its objectives while maintaining the required regulatory standards. The bank was also secured by using the swap money after meeting the deadlines set by the US banking regulations. The bank was comfortable with using swap, which resembled floating-rate capital. By adjusting the characteristics of the balancing assets, Bank One had the possibilities of matching the existing assets with the liabilities thus getting enough capital for investment. Another way to avoid capital requirement was to use de rivatives and investments as substitutes for each other. For instance, selling floating-rate investment to earn or increase the share of fixed-return investments for other investments. The bank could also use the proceedings from other businesses to buy a three-year fixed-rate treasury bonds. Such action would leave the net flow at zero but with increased relative magnitude in the banks fixed-rate portfolio. Swap has been used as a tool for risk management with control of interest rates. Briefly Discuss Some of the Risks, as per the Case, Bank One Faced The risks set with the increased swap investments that are above the normal set standard. With higher off-balance sheet investments, any drastic change in the interest rates for both the assets and liabilities can bring huge changes in marginal returns. The bank also risks the falling of rates with more investment in the volatile derivatives that can bring effects of declining tangible equity-to-asset ratio that can lead to sensitive changes affecting operations of the company. Are Derivatives Better for Bank Management? Discuss the Topic Such derivatives as swap, CMOs (collateral mortgage obligation) and AIRS (Amortizing interest rate swaps) have been used in the financial sector to improve financial standings. Swap, for instance, provides many benefits for banking investments where the banks can increase their fixed-rate investments while not affecting their balance sheet. The derivatives have been supported by government and other financial institutions but with limited use. Another derivative, MBSs (mortgage-backed securities) that provides lower than expected after-tax yield has been used to replace municipal bonds and other non-responsive financial investments. If managed with regulations, the swap can help improve financial performance of banks. The case is compromised when imbalances in the invested assets and the liabilities do not match especially when they are based on the prime rates. Why do you think Bank One Stock Price Matters for its Acquisition of other Banks? It matters since the asset and the adopted capital should be used to generate more money and make the bank strong. The Stock price affects the public image where customers are sensitive lot who can forecast the changes in earnings per share and the interests. The changes lead to great changes including massive migration of customers. Dissatisfying stock performances create unstable market forces for the company thus harmonizing the new acquisitions with the Bank Ones stock prices is best to control any big marginal changes. Looking for custom case study? Then Writessay.org would be the best choice for you as it provides quality custom case study help for students.