单选题To account for positive cash flows from the underlying asset, we need to adjust the put-call parity formula by: A. adding the future value of the cash flows to S. B. adding the future value of the cash flows to X. C. subtracting the present value of the cash flows from S.
单选题In constructing cash flow forecasts for the medium term, an analyst should most appropriately: A. base the forecast on recent cash flow (daily, weekly, monthly) only. B. base the forecast on recent average cash flows with adjustment for trends and seasonality. C. pay special attention to expected finaneings and capital expenditures.
单选题If the rate of inflation in a country were to fall below the range targeted by its government, the central bank would most likely:
单选题If money supply and demand are in equilibrium and the central bank sells securities in the open market:
单选题The tenor of a swap is best described as the:
单选题Justin Banks just won the lottery and is trying to decide between the annual cash flow payment option and the lump sum option
单选题An analyst does research about asset beta and gathers the following information about a company: ·Market value of equity is $900000 ·Book value of equity is $1100000 ·Market value of debt is $1000000 ·Book value of debt is $950000 ·Equity beta is 2.3 ·Marginal tax rate is 40% Assuming the company's debt has no market risk, the company's asset beta is closest to: A. 1.36 B. 1.38 C. 1.49
单选题Ananalystdoesresearchaboutacallablebond.Allelsebeingequal,isacallablebondmostlikelytoexhibitnegativeconvexitywhentheprevailingmarketyieldforthatbondisrelatively:
单选题CarolCorky,CFA,isaseniorportfoliomanagerforUniversalManagement.UniversalManagementmanagesfivefunds,eachwithalarge-capitalizationinvestmentstrategy.Whenchoosingportfoliosunderitslarge-capitalizationinvestmentstrategyforthepurposeofachievingcompliancewiththeGlobalInvestmentsPerformanceStandards(),whichofthefollowingismostaccurate?UniversalManagementismostlikelyrequiredtoinclude:A.alldiscretionaryportfolioscurrentlymanagedunderthelarge-capitalizationinvestmentstrategy.B.alldiscretionaryportfolioscurrentlyandhistoricallymanagedunderthelarge-capitalizationinvestmentstrategy.C.alldiscretionaryandnon-discretionaryportfolioscurrentlyandhistoricallymanagedunderthelarge-capitalizationinvestmentstrategy.
单选题If two fair coins are flipped and two fair six - sided dice are rolled, all at the same time, what is the probability of ending up with two heads (on the coins) and two sixes (on the dice)?
单选题
The investor would prefer the municipal bond because
the taxable-equivalent yield is greater than the yield on the corporate bond:
6.4%＞6.375%.
单选题For the past decade, Christina Pederson, CFA, has managed the account of Susan Stefansson and in that time developed a close relationship with her client. Stefansson has a beach house in the Bahamas which she offers Pederson and her family free use of for two weeks as a reward for the excellent returns generated in her account. Pederson is so busy at work she doer not tell anyone where she is going for vacation. When accepting Stefansson's offer, Pederson least likely violates the CFA Institute Standard relating to:
单选题Do"margin"inthestockmarketand"margin"inthefuturesmarket,respectively,meanthataninvestorhasreceivedaloanthatreducestheamountofhisownmoneyrequiredtocompletethetransaction?
单选题An analyst gathered the following data about a project: Costs are $ 8000 plus $ 2000 in shipping and installation. For the next five years the project will annually generate $5000 in sales and $ 2000 in costs, not including depreciation. The project is being depreciated on a straight-line basis over five years with no salvage value. The company's tax rate is 40% , and the weighted average cost of capital is 10%. The project's net present value (NPV) is closest to:
单选题An investor currently has a portfolio valued at $700 000. The investor's objective is long-term growth, but the investor will need $ 30 000 by the end of the year to pay his son's college tuition and another $10 000 by year-end for his annual vacation. The investor is considering three alternative portfolios.
单选题Themarketvalueofan18-yearzero-couponbondwithamaturityvalueof$1,000discountedata12%annualinterestratewithsemi-annualcompoundingisclosestto:
单选题A company uses the LIFO inventory method, but most of the other companies in the same industry use FIFO. Which of the following best describes one of the adjustments that would be made to the company"s financial statements to compare it with other companies in the industry? The amount reported for the company"s ending inventory should be:
单选题A bond has a modified duration of 6 and a convexity of 62.5. What happens to the bond's price if interest rates rise 25 basis points? It goes:
单选题Assuming that the risk-free rate is 5 percent, the expected return on the market is 10 percent, and the stock"s beta is 0.5, what is the value of a stock that paid a $ 0. 30 dividend last year, if dividends are expected to grow at a rate of 6 percent forever?
单选题Which of the following statements about accounting for long-term debt is least accurate? A. For a bond issued at par, interest expense = coupon rate x face value. B. For a discount coupon bond, cash flow from operations will decrease by the amount of the periodic coupon payment. C. A bond issued at a discount results in lower cash flow from operations and higher cash flow from financing than a bond issued at a premium.