单选题With respect to tangible fixed assets, SFAS 143 requires that the capitalized value of an asset（ ）
单选题An analyst does research aboutthe capital asset pricing model (CAPM) and the security market line (SML). With respect to the CAPM and SML, if a security has a beta of 1.3, that security should: A. plot above the security market line. B. have an above average risk premium. C. have above average unsystematic risk.
单选题Which of the following choices most accurately illustrates an operating liability and which most accurately illustrates a financing liability? Operating liabilities Financing liabilities A. Customer advances Accrued liabilities B. Short-term note payable Current portion of long-term debt C. Accounts payable Current portion of long-term debt
单选题If a futures investor has a SHORT position and futures prices
rise, his margin account will:
A. show a GAIN.
B. suffer a LOSS.
C. remain unchanged.
单选题Selected information from Leeward Company's financial statements for the year ended December 31 is as follows (in $):
单选题Pannonia Enterprises, Inc. (PEI) has a target capital structure of 40% debt with 60% equity. PEI's pretax cost of debt will remain at 9% until the firm raises more than $200000 in new debt capital, at which point its pretax cost of debt will increase to 9.5%. PEI's cost of equity will increase when more than $ 400000 in equity capital is raised. Which of the following choices is closest to PEI's break point for debt capita?
单选题Which of the following statements regarding the disclosure of deferred taxes in a company' s balance sheet is most accurate? A. There should be a combined disclosure of all deferred tax assets and liablities. B. With respect to deferred tax assets, current or noncurrent classification is based on the classification of the underlying liability. C. Current deferred tax liability, current deferred tax asset, noncurrent deferred tax liability and noncurrent deferred tax asset are each disclosed separately.
单选题An industry experiencing slow growth, high prices, and volumes insufficient to achieve economies of scale is most likely in the:
单选题An analyst does research about option moneyness. An investor paid $5 for a put option that was in-the-money $3. If the price of the underlying was $59 at the time the investor purchased the put option, the exercise price of that put option was closest to: A. $51 B. $56 C. $62
单选题Which of the following statements about indexes is TRUE? A. A price-weighted index assumes an equal number of shares (one of each stock) represented in the index. B. An unweighted index assumes a proportionate market value investment in each company in the index. C. A value weighted index assumes an investor makes and maintains an equal dollar investment in each stock in their portfolio.
单选题Oriency Company is considering a project that requires $56 million cash outlay and is expected to produce cash flow of $15 million per year for the next three years. Oriency"s tax rate is 35%, and the before-tax cost of debt is 6%. The current share price of Oriency"s stock is $27 and the expected dividend next year is $1.8 per share. Oriency"s expected growth rate is 2%. Assume that Oriency finances the project with 70% equity and 30% debt, and the flotation cost for equity is 3%. The appropriate discount rate is the weighted average cost of capital (WACC). Which of the following choices is closest to the dollar amount of the flotation costs and the NPV for project?
dollar amount of the flotation costs NPV for project
① $1176000 $2003910
② $1176000 $3435268
③ $1680000 $3435268
单选题According to the quantity theory of money, which one of the following economic variables would change in response to an increase ha the supply of money?
单选题The effective annual rate for an investment with a stated annual rate of 10% if compounded quarterly is closest to: A. 10.25% B. 10.38% C. 10.52%
单选题In securities exchange markets, a member who executes stop loss or stop
buy orders when the specified price occurs is most likely a:
A. floor broker.
B. market maker.
C. commission broker.
单选题The liquidity premium can be best described as compensation to investors for the:
单选题Which of the following statements best describes the relationship between correlation and covariance? The correlation between two random variables is their covariance standardized by the product of the variables":
单选题An investor most concerned with reinvestment risk would be least likely to:
单选题When household incomes go down and the quantity of a product demanded
goes up, the product is:
A. an inferior good.
B. a necessity.
C. a luxury good.
单选题A subset of a population is best described as a:
单选题Emanuel Rodriguez, CFO of Monterrey Spikes Sports Goods Inc. , has gathered the following information about the company:
2000 2007
Sales $128.4 million 220.0 million
ROA 10% 12%
Net profit margin 6% 7%
Number shares outstanding 5 million 6 million
Rodriguez expects sales in 2008 to grow at the historical compound annual growth of sales from the year 2000 to 2007. For the year 2008, the net profit margin and the number of shares outstanding are expected to remain unchanged from the year 2007. The company"s earnings per share (EPS), for the year 2008, is closest to: