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Question
Terry has a portfolio comprised of two individual securities. Which one of the following computations that he might do is NOT a weighted average?A. correlation between the securities
B. individual security expected return
C. portfolio expected return
D. portfolio variance
E. portfolio beta
Answer
This answer is hidden. It contains 16 characters.
Related questions
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What are the advantages and the disadvantages of a homeowner selecting a 30-year mortgage rather than a 20-year mortgage?
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You have a 25-year mortgage at 5 percent interest. The initial loan amount was $250,000. By how much did the principal decrease over the first 10 years of the loan? Payments are made monthly.
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Ten years ago, you borrowed $165,000 for 25 years at 7.5 percent interest. What is the current principal balance, assuming payments are made monthly?A. $112,200B. $131,534C. $138,314D. $140,362E. $147,414
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Which one of the following is correct concerning the total payment amount on a PO strip?A. The total payment amount equals the bond's par value.B. The total payment amount will either equal or exceed the bond's par value.C. The total payment will vary based on the PSA schedule.D. The total payment amount will increase if interest rates decline.E. The total payment amount will vary if the prepayment rate varies.
Q:
Which one of the following statements regarding an original issue $25,000 GNMA bond is correct?
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Q:
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A. advantage; advantage
B. advantage; disadvantage
C. disadvantage; advantage
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Q:
Briefly outline and discuss Porter's Five Forces and their use.
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B. 1.94%
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Q:
If wages grew 3.15 percent in 2013, but inflation was 2.75 percent, what was the approximate real increase in wages?
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B. 0.20%
C. 0.30%
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E. 0.50%
Q:
Assume there are 475 million people in the United States, 175 million of which make up the labor force. If 16 million are unemployed, what is the unemployment rate?
A. 8.35%
B. 9.14%
C. 10.91%
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Q:
An analyst gathered the following year-end price level data for an economy. What is the economy's annual inflation rate for 2012?A. 3.22%B. 3.42%C. 3.68%D. 3.87%E. 3.92%
Q:
Assume the inflation rate in 2012 is 2.1 percent. If the nominal GDP grew 3.2 percent and nominal wages grew 2.6 percent, what are the approximate real growth rates of GDP and wages?
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Q:
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You invest $150,000 in Japan at a starting exchange rate of 100.20/$. Your Japanese investment gains 6 percent, and the ending exchange rate is 101.35/$. What is your total return on this investment?
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D. Consumer Inflation Index (CII)
E. Consumer Price Index (CPI)
Q:
Which of the following reflects the dollar value of economic output in terms of the current year?
A. current year GDP
B. real GDP
C. nominal GDP
D. adjusted GDP
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Q:
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A. Domestic spending
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C. Business cycles
D. Monetary Policy
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Q:
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A. 28 percent
B. 30 percent
C. 33 percent
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Q:
Municipal bonds are yielding 4.4 percent if they are insured and 4.7 percent if they are uninsured. Your marginal tax rate is 28 percent. Your equivalent taxable yield on the insured bonds is _____ percent and on the uninsured bonds is _____ percent.
A. 5.89; 6.27
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C. 6.31; 6.81
D. 6.67; 7.10
E. 6.76; 7.10
Q:
You have a marginal tax rate of 32 percent and an average tax rate of 28 percent. Municipal bonds in your area are yielding 4.25 percent. What is your equivalent taxable yield?
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C. 5.13 percent
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Q:
The Federal Reserve is offering Treasury bills with a par value of $10 billion for sale. They have received $3 billion of noncompetitive bids. The competitive bids for a $10,000 par value bond are: (Qty in billions) How much money will the Federal Reserve raise from this offering?
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Q:
A Treasury bond matures in 13 years, has a 5.25 percent coupon, and a quoted price of 98:01. What is the yield to maturity?A. 5.25 percentB. 5.34 percentC. 5.46 percentD. 5.55 percentE. 5.68 percent
Q:
A Treasury bond has a quoted bid price of 100:10 and a quoted ask price of 100:11. What is the amount you will receive if you sell your bond that has a par value of $20,000?
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B. $20,050.00
C. $20,062.60
D. $20,100.08
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Q:
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A. accept the call; the call price exceeds the conversion value
B. accept the call; they have no other choice
C. convert their bonds; the conversion price exceeds the par value by $37.90
D. convert their bonds; the conversion price exceeds the call price by $12.90
E. elect to continue holding their bonds; they want to continue receiving the interest payments
Q:
A bond has a par value of $1,000 and a market price of $1,087.20. The conversion price is $40 and the stock price is $41.75. What is the conversion value?
A. $1,043.75
B. $1,250.00
C. $1,481.10
D. $1,500.00
E. $1,652.00