单选题Which of the following does NOT violate Standard Ⅰ ( D), Misconduct? Roland Lawson, a CFA charterholder and a financial analyst: A. is arrested for participating in a nonviolent protest. B. committed perjury in connection with a lawsuit against his firm. C. drinks excessively during business meetings with clients and returns to work under the influence of alcohol.

单选题Cullen Casket Company is considering a project that requires a $175000 cash outlay and is expected to produce cash flows of $65000 per year for the next four years. Cullen's tax rate is 40 percent and the before-tax cost of debt is 9 percent. The current share price for Cullen stock is $32 per share and the expected dividend next year is $1.50 per share. Cullen's expected growth rate is 5 percent. Cullen finances the project with 70 percent newly issued equity and 30 percent debt, and the flotation costs for equity are 4.5 percent. What is the dollar amount of the flotation costs attributable to the project, and that is the NPV for the project, assuming that flotation costs are accounted for correctly? Dollar amount of floatation costs NPV of project ①A. $5513 $30510 ②B. $5513 $32872 ③C. $7875 $32872

单选题A June put option has a premium of $1.50. At expiration, the breakeven value of the underlying asset is $36.50. The strike price of the option is : A. $1.50. B. $36.50. C. $38.00.

单选题One limitation as to why using the average duration of the bonds in a portfolio does not properly reflect that portfolios yield curve risk is that the approach assumes:

单选题The Zaxon Company produces one product and labor is the only variable resource in the production process. In the short run, Zaxon faces a horizontal demand curve at $20 per unit. The average product of labor in the short run is given in the following table: Resouce Units Average Product of Labor 1 25 2 22.5 3 20 4 17.5 If the price of each unit of labor (worker-days) is $ 350, and only whole units can be employed, how many units of labor will Zaxon employ? A. 1. B. 2. C. 3.

单选题Acompanyenteredintoathree-yearconstructionprojectwithatotalcontractprice(allfiguresin000s)of$5,300andexpectedcostsof$4,400.Thecompanyrecognizesrevenueusingthepercentageofcompletionmethod.Thedatabelowrelatetothecontract.Theamountofrevenue(in$O00s)thecompanywillrecognizeinYear2isclosestto:

单选题An alternative investments fund that employs leverage and takes long and short positions in securities is most likely a:

单选题The change in the quantity of money is determined jointly by the: A. change in the monetary base and the Fed's required reserve ratio. B. Fed's required reserve ratio and the money multiplier. C. change in the monetary base and the money multiplier.

单选题The U.S. Federal Reserve System buys $10 million of government securities from the public, the reserve requirement is 20 percent, and all banks have zero excess reserves. A few weeks later, if no excess reserves still exist, the total impact of this action on the money supply will be a:

单选题The economy is in recession, and counter cyclical fiscal policy has been enacted. If the policy has been effective and the AD curve has moved upward to the right, the result is（ ）

单选题Ananalystdoesresearchaboutwell-functionsecuritiesmarkets.Inaninformationallyefficientsecuritiesmarket,doesnewinformationresultinpriceadjustmentthatis:

单选题The owner of a bowling alley determined that the average weight for a bowling ball is 12 pounds with a standard deviation of 1.5 pounds. A ball denoted "heavy" should be one of the top 2 percent based on weight. Assuming the weights of bowling balls are normally distributed, at what weight (in pounds) should the "heavy" designation be used? A. 15.08 pounds. B. 14.00 pounds. C. 14.22 pounds.

单选题Atraderwhobuysastockpricedat$64onmarginwithaleverageratioof2.5andamaintenancemarginof30%willmostlikelyreceiveamargincallwhenthestockpriceisatorfallsjustbelow:

单选题Lincoln Corporation and Continental Incorporated are identical companies except that Lincoln complies with U. S. Generally Accepted Accounting Principles and Continental complies with International Financial Reporting Standards. Assuming an inflationary environment and stable inventory quantities, which permissible cost flow assumption will minimize each firm' s pre-tax financial income? Lincoln Corporation Continental Incorporated ①A. Last-in, first-out Last-in, first-out ②B. First-in, first-out Average cost ③C. Last-in, first-out Average cost

单选题Peter Welsh, CFA, gathered the following information from a company"s most recent financial statements ( U.S. $ in millions): Preferred stock 40 Common stock 120 Additional paid-in capital 30 Retained earnings 190 Treasury stock (55) Total shareholders" equity 325 Total number of common shares outstanding 10 million Tax rate 40% Welsh also determined that the company uses the LIFO inventory method, but most companies in the industry use the FIFO method. The footnotes to the financial statements indicate that if the company had used the FIFO method, the inventory balance would have been $ 50 million higher than the amount reported on the company"s most recent financial statements. If the company"s common stock is currently selling for $70 per share, the most appropriate price to book value ratio to use in valuing the company is:

单选题What is the duration of a floating rate bond that has six years remaining to maturity and has semi-annual coupon payments. Assume a flat-term structure of 6 percent. Which of the following is closest to the correct duration?

单选题Which statement is most correct about the Security Market Line (SML)? A. The SML is a theoretical, long run relationship and therefore never changes. B. The SML will get a steeper slope if inflation is expected to decrease, reflecting the fact that riskier investments benefit most from reductions in inflation. C. The SML will get a steeper slope if investors become more risk-averse, indicating that investors will demand a higher risk premium when their risk aversion increases.

单选题If the price of a commodity futures contract is below the spot price, it is most likely that the:

单选题A company has a contract to build a house for $80000 with an estimated time to completion of three years. A reliable cost estimate of the project is $50000. In the first year of the project, the company incurred cost totaling $20000. How much profit should the company report at the end of the first year under the percentage-of-completion method and the completed-contract method? percentage-of-completion method completed-contract method ① $12000 $0 ② $12000 $30000 ③ $30000 $0

单选题Which of the following provides the most protection to a bondholder?