Review for Exam 1
Closed book and closed notes, 50 questions(Multiple Choice Questions
or True/False questions)
90 minutes, Oct 5-7, Test Center (9:00 a.m. -8:30 p.m.)
Reserve a seat (No walk-ins are allowed) : http:/
Risk & Return
Brief Review Rates of Return
None of these returns tell us about risk!
A stock sells for $45 and pays a dividend of $6. Dividend yield is 13.3%.
A bond sells for $920 with a coupon
Time Value of Money
Money has a time value. It can be expressed in
A dollar today held in savings will grow.
A dollar received in a year is not worth as much
as a dollar received today.
Simple vs. Compound Interest
The smaller the wave length, the higher the energy. True or false?
What color of lights does photosynthesis use?
What is chlorophyll?
Diagram a light dependent reaction:
What is the controller of the entire photosynthesis process?
Debt instruments used by governments or
corporations to raise money (corporate or muni)
May be backed by assets or credit of company
Bondholders are essentially creditors of the
Bonds generally pay interest in addition to
Primary market Market for the sale of new securities by corporations
Secondary Market Market in which previously issued securities are
traded among investors
Initial Public Offering (IPO) First offering of stock
Financial Markets and
What is a Market?
Market where securities are issued and traded.
Market for the sale of new securities by corporations.
Market in which previously issued s
Total Cost of Ownership Calculator
Gray cells are calculated for you. You do not need to enter anything into them.
Cost per year
Cost of power
Cost of space
Visual task time