expeditedreviewguide111 - Expedited/Emergency Study Guide...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
There will be 13 pages in this final exam. Exact Questions on Final: At 1.5% monthly rate, compounded per month, approximately what is the effective annual rate? EAR = (1 + 0.015) 12 – 1= 19.5% (Otavio or Michael could change the numbers a little) What are switching costs? (2-3pts) Explain the difference between systematic and unsystematic risks? (2-3pts) What is QE2? Provide one argument for it AND one argument against it. (2-3pts) What are the advantages and disadvantages of a weak dollar? (2-3pts) You need to know the strengths & weaknesses with regards to the Apple case study. Do not waste time looking over charts and graphs, it’s not in the final! Be sure you know how to draw the Yield Curve . Label Normal, Normal-but steep, and Inverted. X-axis label is Time to Maturity, Y-axis is Yield to Maturity, label the y-axis at 4.5%. On the x-axis, label them to be at 1month, 10 year, and 30 year. (4pts) Definition on derivative & what derivatives are consist of, what caused the financial crisis? Match the following: Inflation = 3.1 Treasury-Bills = 3.8, 5.8 =
Background image of page 1

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

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 03/28/2011 for the course ENGR 110 taught by Professor . during the Winter '10 term at UCLA.

Page1 / 3

expeditedreviewguide111 - Expedited/Emergency Study Guide...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online