Question 1

Long-term securities are traded in the primary market.

Accepted Answer

A) True 
 B)False

Question 2

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-The owner of a bond would expect to receive [steady | variable] annual income.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 3

Preferred stocks are the common stocks of ultra blue-chip companies.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following are characteristics of a limit order?

Accepted Answer

A)  the order that provides the quickest way to have an order filled 
B)  buy orders are filled at the lowest available price 
C)  stock is purchased at the current market price 
D)  the order is executed as soon as the specified price is reached 
E)  securities are always bought on margin. 
A)  the order that provides the quickest way to have an order filled 
B)  buy orders are filled at the lowest available price 
C)  stock is purchased at the current market price 
D)  the order is executed as soon as the specified price is reached 
E)  securities are always bought on margin.

Question 5

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Most brokerage agreements [will | will not] permit you to sue your broker for malpractice.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 6

A portfolio is a collection of investment vehicles assembled to meet an investment goal.

Accepted Answer

A) True 
 B)False

Question 7

When completed,an investment plan is a way of translating an abstract investment target into a specific investment program.

Accepted Answer

A) True 
 B)False

Question 8

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Investments with high current income typically have [high | low] potential capital appreciation.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 9

An unmarried investor with few responsibilities should be able to accept ____ better than two people who are married with young children.

Accepted Answer

A)  return 
B)  risk 
C)  maturity 
D)  diversification 
E)  balance 
A)  return 
B)  risk 
C)  maturity 
D)  diversification 
E)  balance

Question 10

NYSE Euronext is a part of the broker market accounting for what percent of global equities?

Accepted Answer

A)  20 
B)  40 
C)  60 
D)  70 
E)  80 
A)  20 
B)  40 
C)  60 
D)  70 
E)  80

Question 11

When you sell a security OTC,you will receive the

Accepted Answer

A)  offering price. 
B)  market price. 
C)  ask price. 
D)  selling price. 
E)  bid price. 
A)  offering price. 
B)  market price. 
C)  ask price. 
D)  selling price. 
E)  bid price.

Question 12

The SIPC provides protection to the investor from

Accepted Answer

A)  declining security prices. 
B)  low or missing dividend payments. 
C)  brokerage firm failure. 
D)  using margin requirements. 
E)  none of these. 
A)  declining security prices. 
B)  low or missing dividend payments. 
C)  brokerage firm failure. 
D)  using margin requirements. 
E)  none of these.

Question 13

Common stock pays interest payments on a quarterly basis.

Accepted Answer

A) True 
 B)False

Question 14

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-A fixed dividend would be received with [common | preferred] stock.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 15

Securities markets include

Accepted Answer

A)  capital and money markets. 
B)  primary and secondary markets. 
C)  stock exchanges. 
D)  all of these. 
E)  none of these. 
A)  capital and money markets. 
B)  primary and secondary markets. 
C)  stock exchanges. 
D)  all of these. 
E)  none of these.

Question 16

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-An order to buy or sell a security at the best price available at the time the order is received is a [market | limit] order.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 17

All OTC stocks are part of NASDAQ.

Accepted Answer

A) True 
 B)False

Question 18

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-On a percentage basis,commissions will be higher if you are buying a [large | small] number of shares.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 19

Which of the following is a true statement about the Dow Jones Industrial Average?

Accepted Answer

A)  it is based on 30 industrial stocks 
B)  it is based on 50 transportation stocks 
C)  it is a composite index for the 500 largest industrial publicly traded companies 
D)  it is based on 100 utilities stocks 
E)  it contains 50 blue chip stocks 
A)  it is based on 30 industrial stocks 
B)  it is based on 50 transportation stocks 
C)  it is a composite index for the 500 largest industrial publicly traded companies 
D)  it is based on 100 utilities stocks 
E)  it contains 50 blue chip stocks

Question 20

Investing and speculating are two entirely different activities.

Accepted Answer

A) True 
 B)False

Long-term securities are traded in the primary market.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -The owner of a bond would expect to receive [steady | variable] annual income.

Preferred stocks are the common stocks of ultra blue-chip companies.

Which of the following are characteristics of a limit order?

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Most brokerage agreements [will | will not] permit you to sue your broker for malpractice.

A portfolio is a collection of investment vehicles assembled to meet an investment goal.

When completed,an investment plan is a way of translating an abstract investment target into a specific investment program.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Investments with high current income typically have [high | low] potential capital appreciation.

An unmarried investor with few responsibilities should be able to accept ____ better than two people who are married with young children.

NYSE Euronext is a part of the broker market accounting for what percent of global equities?

When you sell a security OTC,you will receive the

The SIPC provides protection to the investor from

Common stock pays interest payments on a quarterly basis.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -A fixed dividend would be received with [common | preferred] stock.

Securities markets include

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -An order to buy or sell a security at the best price available at the time the order is received is a [market | limit] order.

All OTC stocks are part of NASDAQ.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -On a percentage basis,commissions will be higher if you are buying a [large | small] number of shares.

Which of the following is a true statement about the Dow Jones Industrial Average?

Investing and speculating are two entirely different activities.

Understanding the Financial Planning 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

Planning for Retirement

Preserving Your Estate

Filters

Exam 11: Investment Planning

Long-term securities are traded in the primary market.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -The owner of a bond would expect to receive [steady | variable] annual income.

Preferred stocks are the common stocks of ultra blue-chip companies.

Which of the following are characteristics of a limit order?

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Most brokerage agreements [will | will not] permit you to sue your broker for malpractice.

A portfolio is a collection of investment vehicles assembled to meet an investment goal.

When completed,an investment plan is a way of translating an abstract investment target into a specific investment program.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Investments with high current income typically have [high | low] potential capital appreciation.

An unmarried investor with few responsibilities should be able to accept ____ better than two people who are married with young children.

NYSE Euronext is a part of the broker market accounting for what percent of global equities?

When you sell a security OTC,you will receive the

The SIPC provides protection to the investor from

Common stock pays interest payments on a quarterly basis.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -A fixed dividend would be received with [common | preferred] stock.

Securities markets include

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -An order to buy or sell a security at the best price available at the time the order is received is a [market | limit] order.

All OTC stocks are part of NASDAQ.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -On a percentage basis,commissions will be higher if you are buying a [large | small] number of shares.

Which of the following is a true statement about the Dow Jones Industrial Average?

Investing and speculating are two entirely different activities.

Understanding the Financial Planning 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

Planning for Retirement

Preserving Your Estate

Filters