单选题If a smooth curve is to represent a probability density function, what two requirements must be satisfied? The : A. area under the curve must be zero and the curve must not fall below the horizontal axis. B. area under the curve must be one and the curve must not rise above the horizontal axis. C. total area under the curve must be one and the curve must not fall below the horizontal axis.
单选题The unemployment rate is defined as the number of unemployed as a percentage of the:
单选题An investor has the following assets: $ 5000 in bonds with an expected return of 8%. $ 10000 in equities with an expected return of 12%. $ 5000 in real estate with an expected return of 10%. What is the portfolio's expected return?
单选题The liquidity preference theory of the term structure of interest rates implies that the shape of the yield curve should be:
单选题An analyst does research about commodity market. Which of the following is least likely a motivation of investing in commodities? A. Commodity markets have lower volatility than the equity markets. B. Commodities have a positive correlation with the unexpected inflation. C. Commodities have a negative correlation with the stock and bond retums.
单选题Which of the following statements concerning aggregate demand is most accurate? A. When price levels rise, real wealth increases, and individuals will spend more. B. When price levels rise, real wealth decreases, and individuals will spend less. C. When price levels fall, real wealth increases, and individuals will spend less.
单选题Assumethefollowingsix-monthforwardrates(presentedonanannualized,bond-equivalentbasis)werecalculatedfromtheyieldcurve.The3-yearspotrateisclosestto:
单选题If the consumer price index (CPI) at year-end was 142 and the beginning of the year was 135, then the rate of inflation during the year is（ ）
单选题A company' s financial statement reads: Current $ 2000 Fixed assets 3000 Debt 3000 Equity 2000,The company sold $ 500 in receivables, but a review of the footnotes to the financial statements reveals that the credit risk was not transferred on the sale. Which of the following adjustments is an analyst reviewing the company least likely to make? A. Decrease equity by $ 500. B. Increase debt (short-term liabilities) by $ 500. C. Increase current assets (accounts receivable) by $ 500.
单选题To account for positive cash flows from the underlying asset, we need to adjust the put-call parity formula by:
单选题Given a 5 percent discount rate, the present value of $ 500 to be received three years from today is :
单选题An analyst does research about theories of the term structure of interest rate. Which of the following theories of the term structure of interest rate best describes within the different maturity sectors of the yield curve that the supply and demand for funds determine the interest rate for that sector? A. Pure expectation theory. B. Liquidity preference theory. C. Market segmentation theory.
单选题TY Corp. is a manufacturing firm with a reputation for very aggressive financial management. The company has a very high ROE of 28 percent and a spectacular return on assets of 42 percent. Which of the following is the most likely explanation of these ratios? TY Corp. : A. has just started using accelerated depreciation methods. B. leases most of its fixed assets. C. does not capitalize most of its product development costs.
单选题Henrietta Huerta, CFA, writes a weekly investment newsletter to market her services and obtain new asset management clients
单选题Afundmanagercompilesthefollowingdataontwocompanies:ComoanvAComoanvBReturnonassets10.9%9.0%Returnonequity15.4%14.3%Dividendpayoutratio0.350.30Requiredreturnonequity13.0%12.4%Weightedaveragecostofcapital11.8%11.7%Basedontheinformationprovided,themostaccurateconclusionisthatCompanyAsstockismoreattractiverelativetothatofCompanyBsbecauseofits
单选题Thefollowingfinancialinformationisavailableattheendoftheyear.ThedilutedEPSisclosestto:
单选题Three firms in the same industry show the following ratios for the most recent year after all proper adjustments have been made for dilutive securities and differences in financial reporting standards :
Earnings per Share
Sales per Share
Operating Cash Flow per Share
Company X
$ 1.50
$ 2.50
$ 1.00
Company Y
$ 3.50
$ 1.00
$ 2.00
Company Z
$ 2.00
$1.50
$ 3.00 Based on this information, the best financial performer among these three firms: A. is Company X because it has the greatest sales per share. B. is Company Y because it has the highest earnings per share. C. cannot be deten'nined because per-share ratios are not comparable.
单选题Trayfield has recently hired a new accountant, Judy Roehk
单选题
Using the direct method, cash provided
or used by operating activities (CFO) in the year 2005 was: A.
$4300000. B.
$5300000. C.
$6300000. {{B}}Use the following data to answer{{/B}} Net
Income
$1000 Depreciation expense
70 Purchase
of equipment 200
Goodwill amortization
30 Sale of motor car
25
Sale of common stock
100 Decrease in accounts receivable
40 Increase in inventory
35 Issuance
of bonds
20 Increase in accounts payable
30 Increase in wages payable
15 Capital stock exchanged
for equipment 10
单选题The demand for products from monopolistic competitors is elastic due to: