1700_actb212f_specimenexampaper.pdf

1700_actb212f_specimenexampaper.pdf - SPECIMEN EXAMINATION...

Info icon This preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
The Open University of Hong Kong SPECIMEN EXAMINATION PAPER Important: This specimen examination paper serves solely as an illustration of the types of questions which may be contained in the examination. Students should not construe these questions as the actual examination questions nor part of the actual examination paper. In addition, this specimen examination paper does not purport to represent the complete scope or coverage of the course and the distribution of the topics to be examined.
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
ACT B212F (Specimen Exam Paper) Page 2 of 9 This examination paper is divided into THREE (3) Sections . Students are required to answer ALL Sections and answer the number of questions indicated in each Section. SECTION A: This section contains 10 multiple-choice questions which MUST be answered. Total marks for this section are 20 marks. SECTION B: Answer ONE (1) COMPULSORY question. Question 1 carries 40 marks. SECTION C: Answer any TWO (2) of the three questions. Each question carries 20 marks and total marks for Section C are 40 marks. You are advised to show clearly your workings and include any assumptions that you feel necessary in your answers. SECTION A (20 marks) Answer ALL multiple-choice questions in this Section. Each question is worth 2 marks. Mark all the answers on the answer book. 1. Suppose the face value of 2-year, 10% debentures is $100,000. The debentures pay interest four times a year. The market interest rate is 12% per annum. What is the present value of the debentures? (Hints: Present value annuity factor, PVIFA(3%,8)= 7.0197) A. $35,099 B. $78,940 C. $96,490 D. Insufficient information 2. Owners of preference shares do NOT have: 3. The debt ratio:
Image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern