1. Which of the following currency movements would benefit a Chinese importer of wool from Australia? Select all correct answers only. Wool is priced in AUD.

Select one or more:

a.

Appreciation of the CNY compared to the AUD.

b.

Depreciation of the AUD compared to the CAD

c.

Appreciation of the AUD compared to the JPY.

d.

Depreciation of the AUD compared to the CNY.

e.

Appreciation of the AUD compared to the CNY.

2. Which home loan attributes would you choose if you wanted to be protected from rising interest rates and wished to minimise loan repayments? Select all correct answers only.

Select one or more:

a.

Interest-only

b.

Partly amortising

c.

Fully amortising

d.

Variable rate

e.

Fixed rate

3.Given three possible investments in a company, an appropriate risk (by standard deviation) for each would be:

Capital creditor(sigma of 4, sigma of 12, sigma of 8)

Preference share(sigma of 4, sigma of 12, sigma of 8)

Common share (sigma of 4, sigma of 12, sigma of 8)

The reason why capital creditors have the(smallest, middle, largest), risk is because (they get paid first and earn the lowest return, they get paid last and earn the lowest return, they get paid first and earn the highest return, they get paid last and earn the highest return). If you wish to have voting rights for a company's board of directors, you need to be a(preference shareholder, capital creditor, common shareholder).