Internal Control Questionnaires and Verification Procedures

Revaluations

1. Are revaluations of foreign currency accounts performed at least monthly?

   1. Does the revaluation system provide for segregation of and separate accounting for:

      • Realized profits and losses, i.e., those which are determined through the application of spot rates?

      • Unrealized profits and losses, i.e., those which are determined through the application of forward rates?

   2. Are financial swap related assets, liabilities, and future contracts excluded from the revaluation process so that the results identified in a. above more accurately reflect the trader’s outright dealing performance?

   3. Are financial swap costs and profits:

      • Amortized over the life of the applicable swap?

      • Appropriately accounted for as interest income and expense on loans, securities, etc?

   4. Are rates provided by, or at least verified with, sources other than the traders?

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