单选题Which of the following items is NOT found in the financing cash flow part of the statement of cash flows?
单选题Solomon Sulzberg, CFA, is a research analyst at Blue Water Management
单选题Consider the following statements:
Statement 1: "A natural monopoly exists when economies of scale are so pronounced that all of an industry's demand should be supplied by one firm. "
Statement 2: "Monopoly is characterized by a single seller of a distinct product for which no good substitutes exist. "
Statement 3: "Average cost pricing is a form of regulation that is intended to force monopolists to reduce output to the point where the monopolist's average total cost curve intersects its marginal cost curve. "
Which of the following best describes the accuracy of these statements?
Statement 1 Statement 2 Statement 3
①A. Incorrect Correct Incorrect
②B. Correct Incorrect Correct
③C. Correct Correct Incorrect
A. ①B. ②C. ③
单选题Which of the following is included in the M2 measure of the money
supply?
A. savings deposits.
B. time deposits.
C. all of the above.
单选题The earnings multiplier model, derived from the dividend discount model, expresses a stock"s P/E ratio (P
0
/E
1
) as the:
单选题If an investor must pay an amount equal to a particular security's dividend to another investor, he is most likely using:
单选题A firm has average days of receivables outstanding of 22 compared to an industry average of 29 days. An analyst would most likely conclude that the firm（ ）
单选题The statistics for three stocks A, B, and C are shown below. Based only on the information provided, and given a choice between portfolios of equal amounts of stock A and B or B and C,
Correlation of Returns
Stock
A
B
C
A
1.00
0.90
0.50
B
1.00
0.10
C
1.00
Standard Deviation of Returns
Stock
A
B
S"dev
0.40
0.20
0.40
which portfolio you would recommend?
单选题A client exhibits an above-average willingness to take risk but a below-average ability to take risk. The investment adviser is most likely to assess the client's overall risk tolerance as: A. above average. B. average. C. below average.
单选题Jill Marsh, CFA, works for Advisors where she manages a portfolio for a wealthy family. Marsh earns one percent of the portfolio's value each year in the form of a commission from Advisors. The family just told her that any year the portfolio she manages earns more than a 10 percent return, the family will give her the use of the family's vacation home for one week. Hirsh will comply with Standard Ⅳ (B), Additional Compensation Arrangements, if she: A. does nothing with respect to this. B. sends an e-mail to her supervisor about the vacation home. C. delivers a typed memo to her supervisor about the vacation home the first time she uses it.
单选题Monica Shore, CFA, is a highly regarded portfolio manager for Atlantic Investments (AI), a midsized mutual fund firm investing in domestic securities. She has watched the hedge fund boom and on numerous occasions suggested her firm create such a fund. Senior management has refused to commit resources to the area. Frustrated by the inaction, and attracted by the higher fees associated with hedge funds, Shore and several other employees use their spare time to create a hedge fund. Because AI management thinks that hedge funds are a fad, she does not inform her supervisor about the hedge fund. According to the Standards of Practice Book, Shore least likely violated the Standard relating to: A. Disclosure of Conflicts. B. Priority of Transactions. C. Additional Compensation Arrangements.
单选题What is the risk measure associated with the capital market line (CML)?
单选题The Laffer curve indicates that: A. an increase in income tax rates will increase tax revenue. B. a decrease in sales tax rates could increase tax revenue. C. an increase in income tax rates may not increase tax revenue.
单选题Interest payments, either as part of a coupon payment or to creditors,
are always considered which type of cash flow?
A. Investing.
B. Operating.
C. Financing.
单选题An analyst does research about a floating rate securities. All else being equal, the price of a floating-rate security is most likely to react in the same way to changes in market interest rates as a fixed-rate coupon bond if market rates: A. increase between coupon reset dates. B. are substantially below the floating rate security's cap rate. C. are substantially above the floating rate security's cap rate.
单选题Which of the following inventory accounting methods must be used for
financial reporting purposes if a U. S. firm uses last in, first out (LIFO) for
tax purposes?
A. FIFO.
B. Average cost.
C. LIFO.
单选题After extensive research, retired portfolio manager, Ryan Wang, CFA, purchased 20000 shares of a small public company. He then posted messages on several Internet bulletin boards. The messages read, "This stock is going up once the pending patents are released. You would be crazy to sell anything below $5 in a few months from now. The stock is a buy at anything below $5. I just bought 50 K shares for my personal account. I have done some close research on these guys. " According to the Standards of Practice Handbook, Ryan most likely violated the Standard or Standards associated with: A. Conflicts of Interest and Integrity of Capital Markets. B. Conflicts of Interest, but not Integrity of Capital Markets. C. Integrity of Capital Markets, but not Conflicts of Interest.
单选题The infinite period DDM assumes which of the following?
A. ke≠g
B. ke＜g
C. ke＞g
单选题Ananalystgatheredthefollowinginformationaboutacompany:Thestockiscurrentlysellingforpershare.Whichofthefollowingbestcharacterizesthe:Intrinsicvalueofthestocktypeofstock①A.Cyclical②B.Speculative③C.SpeculativeA.①B.②C.③
单选题Ron's Organic Markets has limited access to borrowed funds and must choose among several independent projects with returns greater than their cost of capital. All the projects under consideration have the same required investment of $ 2 million and Ron's has $10 million available for capital investments this year. Which of the following selection criteria is least likely to produce the optimal five projects for investment? Choose the five projects with: A. the greatest total NPV. B. the largest sum of profitability indexes. C. the highest IRRs.