单选题Which of the following statements is least accurate concerning differences in the pricing of forwards and futures?
单选题A copyrighted technique for measuring the downside risk of an investment has just been revealed to the public. If an analyst adopts the technique, he must cite the use of the technique in all research reports in which the technique is used EXCEPT: A. none of these answers provide grounds for an exception. B. if the analyst uses reasonable care and verifies that the technique provides superior results. C. if the analyst modifies the technique slightly.
单选题An analyst gathered the following data about Bands Forever: In 2007
Bands Forever reported net income of $ 22500 and had 3000 shares of stock
outstanding for the entire year. The company also had 1200
shares of 10% , $ 50 par value preferred stock outstanding for the entire
year. The company had 50,10% coupon, $1000 par value bonds
convertible into 50 shares of stock each, also outstanding for the entire
year. The average market price of the stock for 2007 was $ 20.
The tax rate is 40%. The convertible bonds are:
A. dilutive, with diluted earnings per share(EPS) of $ 2.45 versus basic EPS
of $ 0.50.
B. dilutive, with diluted EPS of $ 3.55 versus basic EPS of $ 5.50.
C. antidilutive, with diluted EPS of $ 8.50 versus basic EPS of $
7.50.
单选题Which of the following is most likely to cause a shift to the right in the aggregate demand curve?
单选题
{{B}}An analyst has gathered the
following information about a company, use the information to answer.{{/B}}
Income Statement for the Year 2005
Sales
$1500
Expenses
COGS
$1300
Depreciation
20
Goodwill
10
Int. Expenses
40
Total expenses
{{U}}1370{{/U}}
Income from cont. op.
130
Gain on sale
{{U}}3O{{/U}}
Income before tax
160
Income tax
{{U}}64{{/U}}
Net Income
$96
Additional Information:
Dividends paid
$30
Common stock sold
20
Equipment purchased
50
Bonds issued
80
Fixed asset sold for (original cost of $100 with accumulated
depreciation of $70 )
60
Accounts receivable decreased by
30
Inventory decreased by
20
Accounts payable increased by
20
Wages payable decreased by
10
单选题Initially, the nominal interest rate is 8 percent and the expected
rate of inflation is 6 percent. One year later, the nominal interest rate rises
to 12 percent and inflation rate to 10 percent. Based on this
information the interest rate:
A. has risen.
B. has fallen.
C. has remained the same.
单选题An investor pays $2 for a call option with an exercise price of $95, when the underlying stock price is $95. If the stock price is now $96, the intrinsic value of the call option would be :
单选题For a firm financed with common stock and fixed-rate debt, an analyst should most appropriately adjust which of the following items for a change in market interest rates?
单选题An investor is considering investing in a venture capital project that will have a large payoff at exit, which is estimated to occur in four years. The investor realizes that the risk of failure is high, given the following estimated probabilities:
单选题Under IFRS, which of the following is most accurate if the outcome of a longterm contract cannot be measured reliably and it is probable that the costs will be recovered? A. The company reports revenue to the extent of contract costs incurred. B. The company does not report any income until the contract is substantially finished. C. The company estimates what percentage of the contract is complete and then reports that percentage of the total contract revenue in its income statement.
单选题ff the economy is just beginning to come out of a recession, which of
the following would represent a typical sequence of phases in the business
cycle?
A. Expansion, business peak, contraction, recessionary trough.
B. Expansion, business peak, recessionary trough, contraction.
C. Depression, expansion, business peak, contraction.
单选题Camphor Associates uses acerual basis for financial reporting
purposes and cash basis for tax purposes. Cash collections from customers is $
238000, and accrued revenue is only $188000 Assume expenses at
50 percent in both eases (i. e. $119000 on cash basis and $ 94000 on accrual
basis) , and a tax rate of 34 percent. What is the deferred tax asset/liability
in this case? A deferred tax:
A. liability of $ 8500.
B. asset of $ 48960.
C. asset of $ 8500.
单选题An asset is considered impaired if: A. fixed assets are lower than current assets. B. assets are carried below their market values. C. assets are carried at more than the sum of their undiscounted expected cash flows.
单选题Assuming the following yields for different bonds issued by a corporation:
bonds type
yields
1-year bond
4.2%
2-year bond
5.3%
3-year bond
5.8%
If a 3-year U.S. Treasury is yielding 3.5%, then what is the absolute yield spread on the 3-year corporate issue?
单选题Because of significant changes in the marketplace
单选题Alien Chen, CFA, stated that, for the typical company, accounting profit tends to be greater than economic profit because explicit costs are generally not included in calculating accounting profit. Is the analyst correct with respect to the: Relationship between accounting, profit and economic profit? Inclusion of explicit costs? ①A. No No ②B. No Yes ③C. Yes No
单选题Compared to normal markets, the existence of fraud and the use of violence in black markets generally leads to:
单选题Which of the following is generally the first general step in the portfolio management process?
单选题Darlene Villanueva provides analytical support for portfolio managers at a small investment management firm
单选题In three years, an investor deposits the first of eight $1000 payments
into a special fund. The fund will earn interest at the rate of 5% per year
until the end of the fifth year. Thereafter, all money accumulated in the fund
will earn a reduced interest rate of 4% compounded annually until the end of the
tenth year. How much money will the investor have in the fund at the end often
years assuming no withdrawals are made?
A. $8416.32.
B. $8872.93.
C. $9251.82.