单选题In a period of rising prices, when compared to a company that uses weighted average cost for inventory, a company using FIFO will most likely report higher values for its:
单选题A basic assumption of the capital asset pricing model (CAPM) is that
there are no transaction costs. If this assumption is relaxed, which of the
following would be the least likely to occur?
A. Diversification benefits will be realized up to the point that they
offset transactions costs.
B. Each investor can have a unique view of a security market line.
C. Investors will not correct all mispricing.
单选题The acceptable test statistic for constructing confidence intervals for the population mean of a normally distributed when the variance is unknown and the sample size is large (n≥30) is the:
单选题Keith, CFA, has been invited to join a group of analysts in touring the riverboats of A K Limited. Since commercial flight schedules are inconvenient and not practical for the groups time schedule, A K Limited has arranged chartered flights from casino to its location. A K Limited has also arranged to pay the hotel bill for the three nights of the tour. The trip is purely business. According to AIMR Standards of Professional Conduct, Keith should（ ）
单选题Which of the following statements least accurately describes why firms
can sometimes coordinate economic activity more efficiently than markets? Firms
can achieve economies of:
A. scale.
B. scope.
C. cost.
单选题An analyst adjusts the historical probability of default for high-yield bonds to reflect her perceptions of changes in the quality of high-yield bonds. The analyst is best characterized as obtaining a(n);
单选题An analyst gathered the following information about a common stock: Annual dividend per share $2.10 Risk-free rate of return 7% Risk premium for the stock 45 If the stock's annual dividend is expected to remain at $2.10, the value of the stock is closest to : A. $19.09. B. $20.00. C. $32.40.
单选题In an effort to influence the economy, a central bank conducted open market activities by selling government bonds
单选题Which of the following is least likely to be considered a feature that is common to both monopolistic competition and perfect competition? A. Extensive advertising to differentiate products. B. Zero economic profits in the long run. C. Output where marginal revenue equals marginal cost.
单选题Jason, CFA, works for a regional brokerage firm. He estimates that RHG
company will increase its dividend by $1.50 a share during the next year. He
realizes that this increase is contingent on pending legislation that would, if
enacted, give RHG a substantial tax break. The U.S. representative for RHG's
home district has told Jason, that, although she is lobbying hard for the bill
and prospects for passage look good, Congress's concern over the federal deficit
could cause the tax bill to be voted down. RHG has not made any statements
regarding a change in dividend policy. Jason writes in his research, "We expect
RHG's stock price to rise by at least $8.00 a share by the end of the year.
Because the dividend will increase by $1.50 a share, the stock price gain will
be fueled, in large part, by the increase in the dividend. Investors buying the
stock at the current time should expect to realize a total return of at least 15
percent on the stock." According to Standards:
A. Jason violated the Standards because he failed to separate opinion from
fact.
B. Jason violated the Standards because he used material inside
information.
C. Jason did not violate the Standards.
单选题A portfolio to the right of the market portfolio on the CML is:
单选题A bond is selling at a premium relative to its par value. Which of the following relationships holds? A. Yield to maturity＞coupon rate＞current yield. B. Current yield＞yield to maturity＞coupon yield. C. Coupon rate＞current yield＞yield to maturity.
单选题Billie Blake is interested in a stock that has an expected dividend one year from today of $1.50, i. e. , D
1
=$1.50, D
2
=$1.75 and D
3
=$2.05. She expects to sell the stock for $47.50 at the end of year 3. What is Billie willing to pay one year from today if investors require a 12 percent return on the stock.
单选题The issuance of asset backed securities (ABSs) versus straight debt would be desirable if: A. a better credit quality is desired on the asset backed versus the corporation. B. there are regulatory constraints on the deal. C. the corporation's credit rating may go up in the future.
单选题An investor has a $15000 portfolio consisting of $10000 in stock A
with an expected return of 20 percent and $ 5000 in stock B with an expected
return of 10 percent. What is the investor's expected return on the portfolio?
A.7.9%.
B. 12.2%.
C. 16.7%.
单选题When using the net income approach (NOI) in real estate valuation, if inflation is passed through, the appraisal price will most likely:
单选题A sample has 64 observations with a mean of 30 and standard deviation of 20. If the reliability factor is 2.05, the upper confidence limit for the population mean is closest to: A. 30.64 B. 32.50 C. 35.13
单选题The tendency to commit additional funds to a position that has
decreased in value is known in behavioral finance as:
A. overconfidence bias.
B. confirmation bias.
C. escalation bias.
单选题An analyst doe research about a U. S. Treasury Inflation Protection Security (TIPS). With respect to a TIPS, Which of the following statements is most accurate? Changes in the reference price index resultin changes in: A. the TIPS' coupon rate. B. the TIPS' principle amount. C. both the TIPS' coupon rate and the TIPS' principle amount.
单选题Convenience yield is best described as a nonmonetary benefit of holding a(n):