Question 1

Data that have been collected over a period of time on one or more variables is referred to as

Accepted Answer

A)  Cross-sectional data 
B)  Time-cross-sectional data 
C)  Time series data 
D)  Panel data 
A)  Cross-sectional data 
B)  Time-cross-sectional data 
C)  Time series data 
D)  Panel data C

Question 2

Data that have been collected on one or more variables at a single point in time is referred to as

Accepted Answer

A)  Cross-sectional data 
B)  Time-cross-sectional data 
C)  Time series data 
D)  Panel data 
A)  Cross-sectional data 
B)  Time-cross-sectional data 
C)  Time series data 
D)  Panel data A

Question 3

The numerical score assigned to the credit rating of a bond is best described as what type of number?

Accepted Answer

A)  Continuous 
B)  Cardinal 
C)  Ordinal 
D)  Nominal 
A)  Continuous 
B)  Cardinal 
C)  Ordinal 
D)  Nominal C

Question 4

An individual has £10000 capital to invest in the stock market. He invests 30% of his capital in stock A, 25% in stock B and 45% in Stock C. What is the return on his/her portfolio assuming that the simple returns on stocks A, B and C are 5%, 10% and 12%, respectively?

Accepted Answer

A)  9.0% 
B)  9.7% 
C)  9.3% 
D)  9% 
A)  9.0% 
B)  9.7% 
C)  9.3% 
D)  9%

Question 5

An individual invested £106.40 in the stock market and the value of his investment two years later is £138.22. What are the simple and continuously compounded returns on his investment?

Accepted Answer

A)  26% and 30%, respectively 
B)  -29% and -34%, respectively 
C)  30% and 26%, respectively 
D)  30% and 30%, respectively 
A)  26% and 30%, respectively 
B)  -29% and -34%, respectively 
C)  30% and 26%, respectively 
D)  30% and 30%, respectively

Question 6

Financial econometrics can best be described as

Accepted Answer

A)  The application of statistical techniques to problems in finance 
B)  The application of mathematical models to problems in economics 
C)  The application of financial techniques to problems in economics 
D)  None of the above 
A)  The application of statistical techniques to problems in finance 
B)  The application of mathematical models to problems in economics 
C)  The application of financial techniques to problems in economics 
D)  None of the above

Question 7

Which of these is a characteristic of financial data?

Accepted Answer

A)  They are observed at much lower frequencies than macroeconomic data 
B)  The number of observations is usually very small 
C)  They are considered to be very noisy 
D)  It is easy to separate underlying trends from random and uninteresting features 
A)  They are observed at much lower frequencies than macroeconomic data 
B)  The number of observations is usually very small 
C)  They are considered to be very noisy 
D)  It is easy to separate underlying trends from random and uninteresting features

Question 8

The average nominal annual rent in the US denominated in dollars and the CPI (2008 levels) are given in the table below:  
-What is the 2012 average annual rent in 2008 terms?

Accepted Answer

A)  9743 
B)  10572 
C)  9286 
D)  11093 
A)  9743 
B)  10572 
C)  9286 
D)  11093

Question 9

Which of the following is a serious problem encountered by applied econometricians in economics?

Accepted Answer

A)  Small samples problems 
B)  Measurement error 
C)  Data revisions 
D)  All of the above 
A)  Small samples problems 
B)  Measurement error 
C)  Data revisions 
D)  All of the above

Question 10

Suppose that we wanted to sum the 2007 returns on ten shares to calculate the return on a portfolio over that year. What method of calculating the individual stock returns would enable us to do this?

Accepted Answer

A)  Simple 
B)  Continuously compounded 
C)  Neither approach would allow us to do this validly 
D)  Either approach could be used and they would both give the same portfolio return 
A)  Simple 
B)  Continuously compounded 
C)  Neither approach would allow us to do this validly 
D)  Either approach could be used and they would both give the same portfolio return

Question 11

The average nominal annual rent in the US denominated in dollars and the CPI (2008 levels) are given in the table below:  
-What is the 2008 average annual rent in 2012 terms?

Accepted Answer

A)  9743 
B)  10572 
C)  9286 
D)  11093 
A)  9743 
B)  10572 
C)  9286 
D)  11093

Question 12

Data that have both time series and cross-sections is referred to as

Accepted Answer

A)  Cross-sectional data 
B)  Time-cross-sectional data 
C)  Time series data 
D)  Panel data 
A)  Cross-sectional data 
B)  Time-cross-sectional data 
C)  Time series data 
D)  Panel data

Data that have been collected over a period of time on one or more variables is referred to as

Data that have been collected on one or more variables at a single point in time is referred to as

The numerical score assigned to the credit rating of a bond is best described as what type of number?

An individual has £10000 capital to invest in the stock market. He invests 30% of his capital in stock A, 25% in stock B and 45% in Stock C. What is the return on his/her portfolio assuming that the simple returns on stocks A, B and C are 5%, 10% and 12%, respectively?

An individual invested £106.40 in the stock market and the value of his investment two years later is £138.22. What are the simple and continuously compounded returns on his investment?

Financial econometrics can best be described as

Which of these is a characteristic of financial data?

The average nominal annual rent in the US denominated in dollars and the CPI (2008 levels) are given in the table below: -What is the 2012 average annual rent in 2008 terms?

Which of the following is a serious problem encountered by applied econometricians in economics?

Suppose that we wanted to sum the 2007 returns on ten shares to calculate the return on a portfolio over that year. What method of calculating the individual stock returns would enable us to do this?

The average nominal annual rent in the US denominated in dollars and the CPI (2008 levels) are given in the table below: -What is the 2008 average annual rent in 2012 terms?

Data that have both time series and cross-sections is referred to as

Mathematical and Statistical Foundations

A Brief Overview of the Classical Linear Regression Model

Further Development and Analysis of the Classical Linear Regression Model

Classical Linear Regression Model Assumptions and Diagnostic Tests

Univariate Time Series Modelling and Forecasting

Multivariate Models

Modelling Long-Run Relationships in Finance

Modelling Volatility and Correlation

Switching Models

Panel Data and Limited Dependent Variable Models

Filters

Exam 1: Introduction

Data that have been collected over a period of time on one or more variables is referred to as

Data that have been collected on one or more variables at a single point in time is referred to as

The numerical score assigned to the credit rating of a bond is best described as what type of number?

An individual has £10000 capital to invest in the stock market. He invests 30% of his capital in stock A, 25% in stock B and 45% in Stock C. What is the return on his/her portfolio assuming that the simple returns on stocks A, B and C are 5%, 10% and 12%, respectively?

An individual invested £106.40 in the stock market and the value of his investment two years later is £138.22. What are the simple and continuously compounded returns on his investment?

Financial econometrics can best be described as

Which of these is a characteristic of financial data?

The average nominal annual rent in the US denominated in dollars and the CPI (2008 levels) are given in the table below: -What is the 2012 average annual rent in 2008 terms?

Which of the following is a serious problem encountered by applied econometricians in economics?

Suppose that we wanted to sum the 2007 returns on ten shares to calculate the return on a portfolio over that year. What method of calculating the individual stock returns would enable us to do this?

The average nominal annual rent in the US denominated in dollars and the CPI (2008 levels) are given in the table below: -What is the 2008 average annual rent in 2012 terms?

Data that have both time series and cross-sections is referred to as

Mathematical and Statistical Foundations

A Brief Overview of the Classical Linear Regression Model

Further Development and Analysis of the Classical Linear Regression Model

Classical Linear Regression Model Assumptions and Diagnostic Tests

Univariate Time Series Modelling and Forecasting

Multivariate Models

Modelling Long-Run Relationships in Finance

Modelling Volatility and Correlation

Switching Models

Panel Data and Limited Dependent Variable Models

Filters