单选题An analyst gathered the following data about stocks J, K and L, which together form a value-weighted index: December 31, Year 1 December 31, Year 2 Stock Price Shares Outstanding Price Shares Outstanding J $40 10000 $50 10000 K $30 6000 $20 12000x L $50 9000 $40 9000 x:2 for 1 stock split The ending value-weighted index ( bare index = 100) is closest to: A. 92.31. B. 93.64. C. 106.80.

单选题Carolyn Roberts, CFA, is a portfolio manager for a bank trust department. One of her clients, Jay Restow, asked her if she could enhance his returns through buying and selling options. Roberts is not an experienced options trader, but she was afraid if she turned Restow down he would take his sizeable account to another institution. She agreed to trade options, and in the next six months she doubled the size of Restows portfolio. According to Standard Ⅰ（C）Misrepresentation, Roberts has（ ）

单选题Which of the following tax definitions is least accurate?

单选题An analyst has made the following estimates for a stock: dividends over the nest year $0.3 long-term growth rate 14% intrinsic value of stock $17 The shares are currently priced at $14. Assuming the stock price moves to intrinsic value over the next year, what is the expected return on the stock? A. 9.6% B. 18.5% C. 23.6%

单选题All else equal, which of the following is least likely to increase the interest rate risk of a bond?

单选题Fernando Golpas and Javier Solada were reviewing the financial reports of several Latin American governments. They noticed that the central governments of many Latin American countries such as Argentina, Chile, Peru, and Ecuador had recently been issuing sovereign debt. This sparked a discussion between the two analysts about sovereign debt ratings. During their discussion they made the following statements: Golpas: The rating agencies, such as Moody's, generally assign two ratings to sovereign debt. One is a local currency debt rating and the other is a foreign currency debt rating. The reason for the two ratings is that the default frequency has been greater on local currency denominated debt. Solada: If a central government is willing to raise taxes and control its internal financial system, it should be able to generate sufficient local currency to meet its local currency obligation. That is why the rating on local currency denominated debt is generally higher than the rating on foreign currency denominated debt. Are the statements made by Golpas and Solada regarding sovereign debt ratings correct? Golpas Solada ①A. Correct Correct ②B. Incorrect Correct ③C. Incorrect Incorrect A. ①B. ②C. ③

单选题An industry experiencing intense competitive rivalry among incumbent companies is best characterized by:

单选题Which of the following statements is most accurate?

单选题Paul Thomas, CFA, is designing a new layout for research reports his firm writes and issues on individual stocks. In his design, Thomas includes a stock chart on the first page of each report. He does not reference that the charts are copied from an unrecognizable Finance web site. Thomas has: A. not violated CFA Institute Standards of Professional Conduct because these charts are widely available over the Internet. B. violated CFA Institute Standards of Professional Conduct because he did not make sure that the information in these charts is accurate. C. violated CFA Institute Standards of Professional Conduct because he did not state the source of the charts.

单选题Which of the following is not a characteristic of a portfolio located on the efficient frontier?

单选题One is most likely to reject the null hypothesis when the p-value of the test statistic:

单选题Florence Zuelekha, CFA, is an equity portfolio manager at Grid Equity Management (GEM), a firm specializing in commodities

单选题For a 10-year floating-rate security, if market interest rates change by 1%, the change in the value of the security will most likely be:

单选题By volume, the most widely used group of derivatives is the one with contracts written on which of the following types of underlying assets?

单选题Bug-Be-Gone is a residential pest control company that offers a 12 month home-service contract to eliminate insect infestation. Customers are required to prepay for the service at the beginning of each year. If Bug-Be-Gone erroneously records these payments as revenue and include the estimated cost of performing the service, what is the most likely effect on the firm' s liabilities and equity compared to the correct treatment? Liabilities Equity ①A. Understated Overstated ②B. Overstated Overstated ③C. Understated Understated

单选题An analyst is comparing two bonds and has collected the following data: Bond A: Nominal spread of 125 basis points, zero-volatility spread of 125 basis points, and option-adjusted spread of 65 basis points

单选题Which of the following is least accurate about exchange traded funds (ETF)? A. Diversification can be obtained easily with a single ETF transaction. B. ETFs have a cost advantage over traditional mutual funds. C. ETFs trade once a day at closing market prices.

单选题What is the Cost of Goods Sold using the FIFO Method?

单选题Given the following forward rates, the value of a 4 -year, 11 percent annual pay, $1000 par bond, is closest to:

单选题The index weighting that results in portfolio weights shifting away from securities that have increased in relative value toward securities that have fallen in relative value whenever the portfolio is rebalanced is most accurately described as: