christmas list 2023
Which of the following yields on a stock can be negative?
Capital gains yield and total return
Assume all stock prices reflect all relevant information on those stocks at all times. Which one of the following terms best defines the stock market under these conditions?
Efficient Market
Of the options listed below, which is the best example of systematic risk?
Investors panic causing security prices around the globe to fall precipitously
Which of the following statements regarding the aftertax cost of debt is accurate?
It is highly dependent on a company's tax rate
Which of the following statements is a correct reflection of the US stock market for the period 1926 until today?
Large cap stocks outperformed corporate bonds in an average year
Which of the following statement best describes the principle of diversification?
Spreading an investment across many diverse assets will eliminate some of the total risk
The weighted average cost of capital for a firm can depend on all the following except:
Standard deviation of the firm's common stock
Which of the following is a risk that is inherent in all stock portfolios?
Systematic risk
The capital structure of.......lonnnnng
The cost of equity is unaffected by a change in the comapny's tax rate
A news flash about a single company just appeared that caused the company's stock to drop in value by 20% in one day. What type of news flash does this best represent?
Unsystematic
standard deviation is a measure of which one of the following?
Volatility
Wright Market Research is able to borrow money at a rate of 6.8 percent per year. The interest rate is called the:
cost of debt