1. Suppose you were able to save $500 today, what is the future value of this amount after 25 years with an annual interest rate of 8% that is COMPOUNDED QUARTERLY?

A. $2,330.48

B. $2,437.72

C. $3,424.24

D. $3,622.32

11. The SHORT SALE of a stock at $60 with 50% initial margin would result in a margin call for 30% maintenance margin, if the stock price rises to (Note: the percent equity formula is different for "buying using debt" and "short selling"):

A. $85.71

B. $60.41

C. $72.85

D. $69.23

15. If a stock has three-year annual returns of 10%, -4%, 12%, then the standard deviation is equal to:

A. 8.72%

B. 10.44%

C. 11.53%

D. 13.47%

20. If a stock A has a beta of 1.6, the risk-free rate is 4% and the market return is 10%, what is the CAPM expected rate of return for stock A?

A. 4.80%

B. 8.60%

C. 11.80%

D. 13.60%