Liquidity and funding management is vital for both banking institutions and non-financial firms

INSTRUCTIONS TO CANDIDATES

ANSWER ALL QUESTIONS

Question 1: “Liquidity and funding management is vital for both banking institutions and non-financial firms, but even more so for banks.” Do you agree with this statement? Support your arguments with two (2) real-life examples. (7 marks)

Guide: 400 words.

Question 2:

(A) Choose one (1) measure of asset liquidity and one (1) measure of liability liquidity and justify why you have chosen these specific ratios to assess a bank’s liquidity and funding position. (3 marks)

(B) Find annual bank data (2017-2022) to calculate these two ratios for the top four Australian banks, and construct two (2) graphs (one for each ratio). NOTE: All your raw dollar figures, calculated ratios, and relevant formulas/workings must be tabulated and placed alongside the main discussion. Your graphs must be placed underneath the data table. (4 marks)

(C) Conduct trend and peer analyses based on your graphs. (4 marks)

Guide: 450 words; Suggested data source for 2(B): Annual reports on top 4 banks’ websites.

Question 3: Do you think the Australian major banks have responded appropriately to the liquidity/funding pressure during the 2017-2022 period? Evidence your arguments with one specific liquidity/funding management policy undertaken by each of these banks. Your answer must evaluate the effectiveness of each of the four (4) policies and how it contributes to the empirical peer/trend observations discussed in 2(C). (10 marks)

Guide: 450 words.

 Introduction and Conclusion (2 marks): Approximately 200 words are recommended for introduction and conclusion together. Subheadings should be used to separate the three questions and different sections.

Instructions to students

You are required to retain a copy of the assignment until results are finalised. Any query by email must be sent from your Monash student email address. Any other email addresses will not be accepted.

Faculty style guide

Attachments:

Related Questions

. The fundamental operations of create, read, update, and delete (CRUD) in either Python or Java

CS 340 Milestone One Guidelines and Rubric  Overview: For this assignment, you will implement the fundamental operations of create, read, update,

. Develop a program to emulate a purchase transaction at a retail store. This  program will have two classes, a LineItem class and a Transaction class

Retail Transaction Programming Project  Project Requirements:  Develop a program to emulate a purchase transaction at a retail store. This

. The following program contains five errors. Identify the errors and fix them

7COM1028   Secure Systems Programming   Referral Coursework: Secure

. Accepts the following from a user: Item Name Item Quantity Item Price Allows the user to create a file to store the sales receipt contents

Create a GUI program that:Accepts the following from a user:Item NameItem QuantityItem PriceAllows the user to create a file to store the sales receip

. The final project will encompass developing a web service using a software stack and implementing an industry-standard interface. Regardless of whether you choose to pursue application development goals as a pure developer or as a software engineer

CS 340 Final Project Guidelines and Rubric  Overview The final project will encompass developing a web service using a software stack and impleme