Exam1Fall09x (1)

Exam1Fall09x (1) - Exam 1 Fall 2009 Fin 331 Name 1 The...

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

View Full Document Right Arrow Icon
Exam 1, Fall 2009, Fin 331 Name _________________________________ 1. The material wealth of society is determined by the economy's __________, which is a function of the economy's __________. a. Investment bankers, financial assets b. Investment bankers, real assets c. Productive capacity, financial assets d. Productive capacity, real assets 2. Asset allocation refers to the __________. a. Allocation of the investment portfolio across broad asset classes b. Analysis of the value of securities c. Choice of specific assets within each asset class d. None of the answers define asset allocation 3. Money market securities are sometimes referred to as "cash equivalent" because a. They are safe and marketable b. They are not liquid c. They are high risk d. They are low denomination 4. Which one of the following provides the best example of securitization? a. Convertible bond b. Call option c. Mortgage backed bonds d. Preferred stock 5. Currently the Dow Jones Industrial Average is computed by __________. a. Adding the prices of 30 large "blue-chip" stocks and dividing by 30 b. Calculating the total market value of the 30 firms in the index and dividing by 30 c. Measuring the current total market value of the 30 stocks in the index relative to the total value on the previous day d. Adding the prices of 30 large "blue-chip" stocks and dividing by a divisor adjusted for stock splits and large stock dividends 6. . Which one of the following is an example of a dealer market? a. Residential real estate market b. Market for large block security transactions c. Primary market for securities d. NASDAQ
Background image of page 1

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

View Full DocumentRight Arrow Icon
7. The price quotations of treasury bonds in the Wall Street Journal show a bid price of 102.12 and an ask price of 102.24. If you sold the bond you expect to receive __________.
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 07/20/2011 for the course FRL 330 taught by Professor Muhtaseb during the Spring '08 term at Cal Poly Pomona.

Page1 / 8

Exam1Fall09x (1) - Exam 1 Fall 2009 Fin 331 Name 1 The...

This preview shows document pages 1 - 3. Sign up to view the full document.

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