单选题Which of the following most accurately reflects the concept that
competitive markets allocate resources fairly as long as the same rules apply to
all participants?
A. Utilitarianism.
B. The symmetry principle.
C. The fairness principle.
单选题The concept that forward rates reflect investors' expectations of future rates plus a liquidity premium to compensate them for exposure to interest rate risk is associated with which of the following explanations of the term structure of interest rates?
单选题Which of the following statements least accurately describes the IRR and NPV methods?
单选题According to behavioral finance, observed overreaction in securities markets most likely occurs because of:
单选题Which of the following statements most accurately describes a valuation allowance for deferred taxes? A valuation allowance is required under:
单选题Acquire Corp. has a business model based on making accretive acquisitions each and every year. The company has historically been successful in implementing its strategy. In fact, Acquire Corp's earnings per share have grown each of the last five years at a 15 percent compounded rate. During the past year, Acquire Corp. acquired a services company with large net operating losses, representing a third leg to its business model. The other two business segments are engineering construction and mining. The purchase price was one-half the company's current market value. Which of the following measures is the most appropriate technique to value Acquire Corp.?
单选题The minimum variance zero-beta portfolio most likely has some: A. systematic and unsystematic risk. B. unsystematic risk and no systematic risk. C. systematic risk and no unsystematic risk.
单选题Costs included in the determination of a company's economic profit
that are most likely to be included in that company's accounting costs are:
A. explicit costs.
B. implicit costs.
C. opportunity costs associated with labor provided by the company's
owners.
单选题The greatest amount of detailed capital budgeting analysis is typically required when deciding whether to（ ）
单选题During a recent in-house seminar at United Banks of Davos, Helmut Fahrstadt, the seminar leader, was discussing the business cycle and its phases. He made the following statement:
"During a recession one should expect an economy's real GDP to increase, its rate of inflation to increase, and its rate of employment to fall. "
Is the statement made by Fahrstadt correct as it pertains to real GDP, inflation and the rate of employment?
Real GDP Rate of Inflation Rate of Employment
①A. Correct Incorrect Incorrect
②B. Incorrect Correct Incorrect
③C. Incorrect Incorrect Correct
A. ①B. ②C. ③
单选题Which of the following statements regarding an option prior to expiration is TRUE? The maximum value of: A. a European put is less than the maximum value of an American put. B. an American call is less than the maximum value of a European call. C. a European put is equal to the maximum value of an American put.
单选题If a distribution is positively skewed: A. the mean is greater than the median. B. the mode is greater than the median. C. the median, mean, and mode are equal.
单选题A firm will employ physical capital up to the level where the present value of the marginal revenue product of capital is equal to the:
单选题Which of the following statements concerning the objectives of market regulation is least accurate? Regulators:
单选题Which of the following statements about selling shares of stock is
FALSE?
A. The "depth" of the market is typically defined as the number of traders
willing to trade at prices above and below the current price.
B. If the initial margin requirement is 50% and the maintenance margin
requirement is 25%, the investor who buys a stock at $26 on margin will receive
a margin call when the stock hits $17.33.
C. Initial public offerings are sold in the secondary market.
单选题Coleman Corporation's unadjusted trial balance at the end of 2007
reflected compensation expense of $ 90 million. The trial balance did not
include the following: Because of the holidays, no salary
accrual was made for the last week of the year. Salaries for the last week
totaled $ 3.5 million and were paid on January 4, 2008. Employee bonuses for
2007 totaled $ 5 million. The bonuses were paid on January 31,2008. Ignoring
payroll taxes, what is Coleman' s adjusted compensation expense for the year
ended 2007 and what impact will the adjustment have on Coleman' s 2007 current
ratio? Compensation expense
Current ratio ①A.
$ 98.5 million
Decrease ②B. $ 98.5 million
No
effect ③C. $ 94.5 million
Decrease
A. ①
B. ②
C.③
单选题Which of the following is NOT a method of terminating a forward contract prior to expiration?
单选题An analyst does research about the cost of capital and gathers the following information about a company: ·Current share price is $60 ·Current annual dividend per share is $1.50 ·Stable retention ratio is 40% ·Historical return on equity is 12% Using the dividend discount model approach, the cost of equity is closest to: A. 7.30% B. 7.42% C. 9.88%
单选题Notes to financial statements most likely include:
单选题The Puchalski Company reported the following: