Which of the following statements about the Homeowners 8 policy is (are) true? I. Losses to the dwelling are settled on a replacement cost basis if the dwelling is insured for its full market value. II. It is designed primarily for expensive, newer, dwellings. A) I only B) II only C) both I and II […]
Date: September 19th, 2020
Persons insured under Section I of the Homeowners 3 policy include which of the following? I. A spouse of the named insured if living in the same household II. The named insured’s children who are under age 24 and who are full-time college students A) I only B) II only C) both I and II […]
Date: September 19th, 2020
You borrow $30,000 and agree to pay it off with one lump sum payment of $40,000 in 6 years. What annual rate of interest will you be charged? What will be an ideal response? ANSWER 4.91%
Date: September 19th, 2020
The investment banker prefers to avoid a negotiated purchase because it tends to be the least profitable arrangement for the investment banker. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
When constructing pro forma income statements which of the following is the last item to be estimated? A) sales B) the change in retained earnings C) depreciation expense D) taxes ANSWER B
Date: September 19th, 2020
Based on the information in Table 3-1, assuming that no common stock was repurchased during the year, the firm issued how much new common stock during 2010? A) $500 B) $2,000 C) $1,500 D) $1,000 ANSWER C
Date: September 19th, 2020
Rogue Recreation, Inc has normally distributed returns with an expected return of 15% and a standard deviation of 5%, while Lake Tours, Inc has normally distributed returns with an expected return of 15% and a standard deviation of 15%. Which of the following is true? A) Rogue Rec is likely to experience returns larger than […]
Date: September 19th, 2020
Section I of the Homeowners 3 policy provides coverage for which of the following? A) loss of use B) personal liability C) disability of the homeowner D) medical payments ANSWER Answer: A
Date: September 19th, 2020
It is common practice among the largest corporations to sell their securities directly to investors. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
The financial manager is involved in these cash-related activities in the firm: A) investing, working capital management, and financing. B) real assets, financing, and investing C) operations, profitability, and financing D) investing, operating, and financing. ANSWER D
Date: September 19th, 2020
