单选题At the stag of the year
单选题John Cupp, CFA, has several hundred clients. The values of the
portfolios Cupp manages are approximately normally distributed with a mean of $
800000 and a standard deviation of $ 250000. The probability of a randomly
selected portfolio being in excess of $1000000 is :
A. 0.3773.
B. 0.6227.
C. 0.2119.
单选题Which of the following statements is true regarding the Student's t-distribution, as the degrees of freedom become larger: A. Confidence intervals based on the Student's t-distribution become larger. B. Sample sizes of the Student's t-distribution become smaller. C. The Student t-distribution approaches a standard normal distribution.
单选题The sample mean is a consistent estimator of the population mean because the: A. expected value of the sample mean is equal to the population mean. B. sampling distribution of the sample mean has the smallest variance of any other unbiased estimators of the population mean. C. sample mean provides a more accurate estimate of the population mean as the sample size increases.
单选题Which of the following statements best explains the importance of the
timing of changes in discretionary fiscal policy? Changes in discretionary
fiscal policy must be timed properly if they are going to:
A. help the government achieve a balanced budget.
B. exert a stabilizing influence on an economy.
C. enable the government to control the money supply.
单选题A company, which prepares its financial statements in accordance with IFRS is in the process of developing a more efficient production process for one of its primary products
单选题When a regulatory agency requires a monopolist to use average cost pricing, the intent is to produce the quantity where the: A. marginal revenue curve intersects the marginal cost curve. B. marginal revenue curve intersects the demand curve. C. the market demand curve intersects the average total cost curve.
单选题Determine the cash flow from operations given the following table.
Item
Amount
Cash payment of dividends
$30
Sale of equipment
$10
Net income
$25
Purchase of land
$15
Increase in accounts payable
{{U}}$20{{/U}}
Sale of preferred stock
$25
Increase in deferred taxes
$5
Profit on sale of equipment
{{U}}$15{{/U}}
A. $35.
B. $45.
C. $20.
单选题An analyst does research about revenue recognition policy. In order to analyze a company's financial statements, and particularly to compare one company's financial statements with those of another company, which of the following is least likely helpful to understand any differences in their revenue recognition policies? A. Calculate the monetary effect of differences between particular companies' revenue recognition policies and estimates. B. Characterize the relative conservatism of a company's policies. C. Qualitatively assess how differences in policies might affect financial ratio.
单选题Ray Stone, CFA, follows the Amity Paving Company for his employer. Which of the following scenarios is Stone least likely to have to disclose to his employer. A. Stone's personal relationship with the CEO of Amity. B. Stone's ownership of Amity securities. C. The fact that Stone's son worked at Amity as a laborer during the summer while in school.
单选题Suppose that the one-year forward rate starting one year from now is 6%. Which of the following statements is TRUE under the pure expectations hypothesis? The expected: A. future risk premium for short-term bills is 6%. B. future one-year spot rate in one year's time is equal to 6%. C. future risk premium for long-term bonds is 6%.
单选题Which of the following statements concerning security valuation is FALSE? A. An investor may determine the required rate of return for the dividend discount model (DDM) by adding a risk premium to the nominal risk-free rate. B. In the dividend discount model (DDM), the value of the firm is the present value of all future dividends. C. An investor can estimate the growth rate for the dividend discount model (DDM) by multiplying the firm's return on equity (ROE) by the firm's dividend payout ratio.
单选题Baker Computer earned $6.00 per share last year, has a retention ratio of 55 percent, and a return on equity (ROE) of 20 percent. Assuming their required rate of return is 15 percent, how much would an investor pay for Baker on the basis of the earnings multiplier model? A. $173.90. B. Need growth rate to complete calculation. C. $74.93.
单选题Which of the following institutions are federally-related institutions? A. Student Loan Marketing Association. B. Government National Mortgage Association. C. Federal National Mortgage Association.
单选题Which of the following distribution is most likely a discrete distribution?
单选题Tonya Tucker, CFA, is a financial analyst at Bowron Consolidated
单选题On January 31,Dowling Inc．borrowed funds to purchase capitalequipment for its business operations． On the same day, it also recorded the cost of salaries incurred to January 31, which will be paidon February 6. When these two transactions are recorded on January31, the financial statement item that will increase the most is（ ）
单选题If prices are rising and two firms are identical except for inventory methods, the firm using FIFO will have:
单选题If a U.S. investor is forecasting that the yield spread between U.S. Treasury bonds and U. S. corporate bonds is going to widen, then which of the following is most likely to be TRUE?
单选题An analyst does research about efficient frontier. Which statement is the least likely the character of the efficient frontier? A. Minimize risk for a given return target. B. Slope decrease along the curve. C. Have the same utility for investors.