单选题Which of the following statements regarding forward contracts is FALSE? A. Dealers make the majority of their profits by anticipating price moves in the underlying asset. B. Dealers will enter into forward contracts with other dealers. C. End users of forwards most often have a business exposure to price risk from the asset covered by the contract.
单选题A primary advantage of the in-kind redemption process of exchange traded funds (ETFs) is that it: A. reduces transaction costs for the investor. B. reduces tax liability. C. provides greater liquidity for shares of the ETF.
单选题The price value of a basis point (PVBP) for a bond is most accurately described as: A. the product of a bond' s value and its duration. B. the change in the price of the bond when its yield changes by 0.01%. C. an estimate of the curvature of the price-yield relationship for a small change in yield.
单选题Tests of trading rules based on available market data are tests of
which form of the efficient markets hypothesis (EMH)?
A. Strong-form.
B. Semistrong-form.
C. Weak-form.
单选题Five years ago, an investor borrowed $5000 from a financial institution that charged a 6% annual interest rate and immediately took his family to five in Nepal. He made no payments during the time he was away. When he returned, he agreed to repay the original loan plus the accrued interest by making five end - of - year payments starting one year after he returned. If the interest rate on the loan is heldconstant at 6% per year,, what annual payment must the investor make in order to retire the loan?
单选题Fund of fund hedge fund strategies have all of the following advantages except.
单选题When the cost of goods and services used are recognized as an expense in the same period that its generated revenue is recognized, which of the following principle (s) is/are being described? A. The matching principle for revenue and expense recognition. B. The accrual and expense recognition principles. C. The depreciation and accrual principles.
单选题All of the following are ways to exit a swap contract EXCEPT:
单选题Which of the following is least likely to be considered a reason for the existence of a natural monopoly? A. Firms that can maximize profit when price equals marginal cost. B. Firms that have significant economies of scale. C. Firms that have significant economies of scope.
单选题Which of the following statement about market is FALSE? A. Over-the-counter-market is called a continuous market. B. Dealer-markets are price driven markets. C. If trades occur at any time the market is open, it is called continuous market.
单选题Kelly Amadon, CFA, an investment adviser, has two clients: Ryan Randolf,65 years old, and Keiko Kitagawa,45 years old
单选题Tommy Stamlano owns stock worth $80 per share. Stamlano buys a put option with a strike price of $70 for $1.50. At expiration of the put option, the stock price is $65 per share. The profit or loss from Stamlano's portfolio insurance strategy is a:
单选题Which of the following statements about depreciation is FALSE? A. Depreciation reduces a firm' s tax liability. B. Depreciation is a cash flow. C. Depreciation is a tax-deductible expense. Use the following data to answer Questions. Gross fixed assets 1000 Accumulated depreciation 400 Depreciation expense 100 Salvage value 50 Economic asset life 4 years
单选题All of the following can be a motivation to change the depreciation method for financial reporting purposes EXCEPT: A. debt covenants attached with accounting results. B. an increase in cash flows. C. management compensation contracts which are based on reported net earnings.
单选题An analyst has recently determined that only 60 percent of all U. S. pension funds have holdings in hedge funds. In evaluating this probability, a random sample of 50 U. S. pension funds is taken. The number of U. S. pension funds in the sample of 50 that have hedge funds in their portfolio would most accurately be described as a:
单选题Charlie, a CFA candidate, got a copy of a computerized stock selection model designed by a former MBA classmate who is a Wall Street analyst. After spending some time reviewing the program and making a few minor adjustments Charlie showed her new model to her supervisor. Her supervisor said she did a great job and told Charlie to incorporate net new model in her next industry review, which she did. Charlie has（ ）
单选题An in-kind redemption process is generally related to（ ）
单选题An options investor purchases one stock put option on General Motor's stock. The put has the following characteristics : Type of option: put option Underlying asset: 100 shares of General Motor's stock Exercise price : $75 per share Premium: $1.81 per share Expiration date : November By taking a LONG position in this put option, the investor has: A. purchased the right to decide whether to sell 100 shares of General Motor's stock and receive $181 during the specified time period (the expiration date in November) B. purchased the right to decide whether to purchase 100 shares Of General Motor's stock and receive $181 during the specified time period (the expiration date in November) C. none of the above
单选题Matthew Murphy, CFA, is an analyst at Divisadero Securities &Co.. If Murphy lives and works in a country where applicable laws differ from the requirement of the Code of Ethics and Standards of Professional Conduct, : A. Murphy must comply to the applicable local law of the country. B. Murphy must comply to the Code of Ethics and Standards of Professional Conduct. C. Murphy must comply to the stricter of the applicable local law of the country or the Code of Ethics and Standards of Professional Conduct.
单选题A random variable with a finite number of equally likely outcomes is best described as a: