Question 1

The _____ of securities in a worksheet of investments will be the most helpful in calculating the cumulative return on investments.

Accepted Answer

A) type 
B) market value 
C) description 
D) date of purchase 
E) names 
A) type 
B) market value 
C) description 
D) date of purchase 
E) names

Question 2

Megan invested in 10 bonds with a total face value of $5,000, issued by Zen Corporation. The bonds paid 10% semiannual interest till the maturity date. Which of the following is the value of interest earned in the first installment on a single bond?

Accepted Answer

A) $50 
B) $100 
C) $500 
D) $250 
E) $75 
A) $50 
B) $100 
C) $500 
D) $250 
E) $75

Question 3

Which of the following is a characteristic of organized securities exchanges?

Accepted Answer

A) Organized securities exchanges facilitate the trading of unlisted securities with the issuer. 
B) A prospectus is primarily traded in organized exchanges. 
C) Organized securities exchanges commonly use pink sheets for trading. 
D) Organized securities exchanges deal in mutual funds only. 
E) Organized securities exchanges are also known as a broker market. 
A) Organized securities exchanges facilitate the trading of unlisted securities with the issuer. 
B) A prospectus is primarily traded in organized exchanges. 
C) Organized securities exchanges commonly use pink sheets for trading. 
D) Organized securities exchanges deal in mutual funds only. 
E) Organized securities exchanges are also known as a broker market.

Question 4

A retired couple can probably bear more risk in their portfolio than a young investor with a secure job.

Accepted Answer

A) True 
 B)False

Question 5

A portfolio manager created a portfolio containing 80% common stocks, which would be appropriate for:

Accepted Answer

A) John and Vanessa, a retired couple who need a stable return. 
B) Michelle, a divorced middle-aged mother who needs a high current income. 
C) Meredith and Joe, a blue-collar, two-income family with five children. 
D) Ramone, a young worker with a secure job putting money aside for retirement. 
E) Antonio and Lora, a couple in their mid-50s with dependent parents. 
A) John and Vanessa, a retired couple who need a stable return. 
B) Michelle, a divorced middle-aged mother who needs a high current income. 
C) Meredith and Joe, a blue-collar, two-income family with five children. 
D) Ramone, a young worker with a secure job putting money aside for retirement. 
E) Antonio and Lora, a couple in their mid-50s with dependent parents.

Question 6

_____  contains the Volcker Rule, which prohibits depository banks from proprietary trading.

Accepted Answer

A) The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 
B) The Sarbanes-Oxley Act of 2002 
C) The Investment and Exchanges Regulation and Protection Act of 2005 
D) The Patrick-Miller Exchange Regulation and Protection Act of 2011 
E) The Maloney Act of 1938 
A) The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 
B) The Sarbanes-Oxley Act of 2002 
C) The Investment and Exchanges Regulation and Protection Act of 2005 
D) The Patrick-Miller Exchange Regulation and Protection Act of 2011 
E) The Maloney Act of 1938

Question 7

An _____ provides financial and descriptive information about a firm's operations in the recent past to the internal and external interested parties.

Accepted Answer

A) annual stockholders' report 
B) annual tax report 
C) annual portfolio report 
D) annual research report 
E) annual education report 
A) annual stockholders' report 
B) annual tax report 
C) annual portfolio report 
D) annual research report 
E) annual education report

Question 8

A young investor with a secure job is:

Accepted Answer

A) more concerned about current income. 
B) more able to bear risk. 
C) less oriented toward investments with capital gains. 
D) less aggressive when investing. 
E) more skillful in tax preparation. 
A) more concerned about current income. 
B) more able to bear risk. 
C) less oriented toward investments with capital gains. 
D) less aggressive when investing. 
E) more skillful in tax preparation.

Question 9

Security selection to satisfy an asset allocation plan is final.

Accepted Answer

A) True 
 B)False

Question 10

When a trade occurs in a securities exchange:

Accepted Answer

A) the buyer purchases directly from the seller. 
B) the dealer executes the trade. 
C) an investment banker arranges the trade. 
D) the Securities Exchange Commission executes the trade. 
E) the central bank guarantees the sale. 
A) the buyer purchases directly from the seller. 
B) the dealer executes the trade. 
C) an investment banker arranges the trade. 
D) the Securities Exchange Commission executes the trade. 
E) the central bank guarantees the sale.

Question 11

_____  is the process of analyzing the performance of the securities held by an investor.

Accepted Answer

A) Portfolio tracking 
B) Investor trading 
C) Index pegging 
D) Securities building 
E) Value reporting 
A) Portfolio tracking 
B) Investor trading 
C) Index pegging 
D) Securities building 
E) Value reporting

Question 12

Mutual funds provide professional management and diversification that individual investors-especially those with limited resources-can rarely obtain on their own.

Accepted Answer

A) True 
 B)False

Question 13

The federal government regulates the disclosure of information about securities through the:

Accepted Answer

A) Department of Commerce. 
B) Federal Reserve System. 
C) National Association of Securities Dealers. 
D) Securities and Exchange Commission. 
E) Federal Securities Agency. 
A) Department of Commerce. 
B) Federal Reserve System. 
C) National Association of Securities Dealers. 
D) Securities and Exchange Commission. 
E) Federal Securities Agency.

Question 14

Which of the following securities or investment acts regulates the sale of mutual fund shares?

Accepted Answer

A) Securities Act of 1933 
B) Securities and Exchange Act of 1934 
C) Investment Company Act of 1940 
D) Sarbanes-Oxley Act of 2002 
E) Securities and Protection Act of 1970 
A) Securities Act of 1933 
B) Securities and Exchange Act of 1934 
C) Investment Company Act of 1940 
D) Sarbanes-Oxley Act of 2002 
E) Securities and Protection Act of 1970

The _____ of securities in a worksheet of investments will be the most helpful in calculating the cumulative return on investments.

Megan invested in 10 bonds with a total face value of $5,000, issued by Zen Corporation. The bonds paid 10% semiannual interest till the maturity date. Which of the following is the value of interest earned in the first installment on a single bond?

Which of the following is a characteristic of organized securities exchanges?

A retired couple can probably bear more risk in their portfolio than a young investor with a secure job.

A portfolio manager created a portfolio containing 80% common stocks, which would be appropriate for:

_____ contains the Volcker Rule, which prohibits depository banks from proprietary trading.

An _____ provides financial and descriptive information about a firm's operations in the recent past to the internal and external interested parties.

A young investor with a secure job is:

Security selection to satisfy an asset allocation plan is final.

When a trade occurs in a securities exchange:

_____ is the process of analyzing the performance of the securities held by an investor.

Mutual funds provide professional management and diversification that individual investors-especially those with limited resources-can rarely obtain on their own.

The federal government regulates the disclosure of information about securities through the:

Which of the following securities or investment acts regulates the sale of mutual fund shares?

Understanding the Financial Process

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investing in Stocks and Bonds

Investing in Mutual Funds, Etfs, and Real Estate

Planning for Retirement

Preserving Your Estate

Filters

Exam 11: Investment Planning

The _____ of securities in a worksheet of investments will be the most helpful in calculating the cumulative return on investments.

Megan invested in 10 bonds with a total face value of $5,000, issued by Zen Corporation. The bonds paid 10% semiannual interest till the maturity date. Which of the following is the value of interest earned in the first installment on a single bond?

Which of the following is a characteristic of organized securities exchanges?

A retired couple can probably bear more risk in their portfolio than a young investor with a secure job.

A portfolio manager created a portfolio containing 80% common stocks, which would be appropriate for:

_____ contains the Volcker Rule, which prohibits depository banks from proprietary trading.

An _____ provides financial and descriptive information about a firm's operations in the recent past to the internal and external interested parties.

A young investor with a secure job is:

Security selection to satisfy an asset allocation plan is final.

When a trade occurs in a securities exchange:

_____ is the process of analyzing the performance of the securities held by an investor.

Mutual funds provide professional management and diversification that individual investors-especially those with limited resources-can rarely obtain on their own.

The federal government regulates the disclosure of information about securities through the:

Which of the following securities or investment acts regulates the sale of mutual fund shares?

Understanding the Financial Process

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investing in Stocks and Bonds

Investing in Mutual Funds, Etfs, and Real Estate

Planning for Retirement

Preserving Your Estate

Filters