30 câu hỏi
The index that includes the largest number of actively traded stock is:
the Value Line Composite Index.
the NYSE Composite Index.
the NASDAQ Composite Index.
the Wilshire 5000 Index.
the Russell Index.
The interest rate charged by banks with excess reserves at a Federal Reserve Bank to banks needing overnight loans to meet reserve requirements is called the________.
call money rate
money market rate
prime rate
discount rate
federal funds rate
The largest component of the money market is__________.
repurchase agreements
money market mutual funds
savings deposits
Eurodollars
T-bills
The price quotations of Treasury bonds in the Wall Street Journal show an ask price of 104:08 and a bid price of 104:04. As a buyer of the bond what is the dollar price you expect to pay?
$1,048.00
$1,040.40
$1,044.00
$1,042.50
$1,041.25
What does the term "negotiable" mean with regard to negotiable certificates of deposit?
The CD can be sold to another investor if the owner needs to cash it in before its maturity date.
The CD is automatically reinvested at its maturity date.
The interest rate paid on the CD will vary with a designated market rate.
The CD has staggered maturity dates built in.
The rate of interest on the CD is subject to negotiation.
Which of the following indices is (are) market-value weighted? I) The New York Stock Exchange Composite Index. II) The Standard and Poor's 500 Stock Index. III) The Dow Jones Industrial Average
I and II only
I, II, and III
I only
II and III only
I and III only
Which of the following is true of the Dow Jones Industrial Average?
The divisor must be adjusted for stock splits.
It is a price-weighted average of 30 large industrial stocks.
It is a price-weighted average of 30 large industrial stocks and The divisor must be adjusted for stock splits.
It is a value-weighted average of 30 large industrial stocks and The divisor must be adjusted for stock splits.
It is a value-weighted average of 30 large industrial stocks
Which of the following is used extensively in foreign trade when the creditworthiness of one trader is unknown to the trading partner?
Bankers' acceptances
Eurodollars
Repos
Federal funds
Reverse repos
Which of the following is/are not characteristic of a money market instrument?
Liquidity
Liquidity premium
Long maturity and liquidity premium
Marketability
Long maturity
Which one of the following is not a money market instrument?
A Treasury bill
A negotiable certificate of deposit
Commercial paper
A Treasury bond
A Eurodollar account
Which one of the following terms best describes Eurodollars?
Dollar-denominated deposits in European banks.
Dollar-denominated deposits at foreign banks and branches of American banks outside the U.S.
Dollar-denominated deposits at American banks in the U.S.
Dollar-denominated deposits at branches of foreign banks in the U.S.
Dollars that have been exchanged for European currenc
With regard to a futures contract, the long position is held by
the trader who commits to purchasing the commodity on the delivery date.
the trader who plans to hold the contract open for the lengthiest time period.
the trader who commits to delivering the commodity on the delivery date.
the trader who bought the contract at the largest discount.
the trader who has to travel the farthest distance to deliver the commodity
You purchased a futures contract on corn at a futures price of 350 and at the time of expiration the price was 352. What was your profit or loss?
-$100
-$2.00
$2.00
$75.00
$100
You sold a futures contract on corn at a futures price of 331 and at the time of expiration the price was 343. What was your profit or loss?
-$600
-$12.00
$600
$67.50
$12.00
You sold a futures contract on oats at a futures price of 233.75 and at the time of expiration the price was 261.25. What was your profit or loss?
$1375.00
-$27.50
$1325.00
-$1375.00
$27.50
Assume you purchased 200 shares of GE common stock on margin at $70 per share from your broker. If the initial margin is 55%, how much did you borrow from the broker?
$6,000
$6,300
$7,700
$4,000
$7,000
Assume you sell short 100 shares of common stock at \$30 per share, with initial margin at 50%. What would be your rate of return if you repurchase the stock at \$35/share? The stock paid no dividends during the period, and you did not remove any money from the account before making the offsetting transaction.
-33.33%
none of the above
-25.63%
-57.14%
-77.23%
Assume you sell short 100 shares of common stock at \$45 per share, with initial margin at 50%. What would be your rate of return if you repurchase the stock at \$40/share? The stock paid no dividends during the period, and you did not remove any money from the account before making the offsetting transaction.
22.22%
20.03%
77.46%
25.67%
none of the above
Assume you sell short 1000 shares of common stock at \$35 per share, with initial margin at 50%. What would be your rate of return if you repurchase the stock at \$25/share? The stock paid no dividends during the period, and you did not remove any money from the account before making the offsetting transaction.
none of the above
77.23%
25.63%
57.14%
20.47%
Assume you sold short 100 shares of common stock at \$40 per share. The initial margin is 50%. What would be the maintenance margin if a margin call is made at a stock price of \$50
20%
none of the above
25%
40%
35%
Assume you sold short 100 shares of common stock at \$50 per share. The initial margin is 60%. What would be the maintenance margin if a margin call is made at a stock price of \$60?
40%
35%
none of the above
25%
33%
Initial margin requirements are determined by
B and C.
A and B
the New York Stock Exchange.
the Securities and Exchange Commission.
the Federal Reserve System.
Shares for short transactions
are usually borrowed from other brokers.
are borrowed from commercial banks.
none of the above.
B and C.
are typically shares held by the short seller's broker in street name.
You buy 300 shares of Qualitycorp for \$30 per share and deposit initial margin of 50%. The next day Qualitycorp's price drops to \$25 per share.
What is your actual margin
50%
25%
33%
40%
60%
You purchased 100 shares of common stock on margin at \$40 per share. Assume the initial margin is 50% and the stock pays no dividend. What would the maintenance margin be if a margin call is made at a stock price of \$25? Ignore interest on margin.
0.25
0.23
0.33
0.20
0.55
You purchased 100 shares of common stock on margin at \$45 per share. Assume the initial margin is 50% and the stock pays no dividend.
What would the maintenance margin be if a margin call is made at a stock price of \$30? Ignore interest on margin.
0.23
0.43
0.33
0.55
0.25
You purchased 100 shares of IBM common stock on margin at \$70 per share. Assume the initial margin is 50% and the maintenance margin is 30%. Below what stock price level would you get a margin call? Assume the stock pays no dividend; ignore interest on margin.
$50
$21
$49
$80
none of the above
You purchased 100 shares of XON common stock on margin at \$60 per share. Assume the initial margin is 50% and the maintenance margin is 30%. Below what stock price level would you get a margin call? Assume the stock pays no dividend; ignore interest on margin.
$80.34
$42.86
$49.67
$50.75
none of the above
You purchased 300 shares of common stock on margin for \$60 per share. The initial margin is 60% and the stock pays no dividend. What would your rate of return be if you sell the stock at \$45 per share? Ignore interest on margin.
-33.33%
-41.67%
44.31%
-54.22%
25.00%
You sell short 100 shares of Loser Co. at a market price of \$45 per share. Your maximum possible loss is
$9000
$4500
zero
cannot tell from the information given
unlimited