#10 Asset Allocation is everything -94% of returns are determined from a allocation, 4% from security selection and 2% from market timing. The Father of technical analysis is Charles 41._Dow The U.S. Treasury issues three basic types of Debt securities. They are as follows: 42. Bonds, 4, 13, or 26-week maturities. True or False? 43. Notes, 2, 3, 5 and 10-year maturities. True or False? 44. Bills, greater than 10-year maturities. True or False? #11 After tax returns are all that matter. Stocks generally have produced positive inflation-adjusted rates of return over the long- term. True or False? 45. A stock's market value would normally by higher than its book value. True or False? 46. Investors should never pay more that par value for a stock. True or False? 47. If a firm has a 2 million shares outstanding and its stock trades at S25, the company has a market capitalization of $50,000,000. True or False? 48. #12 Diversification matters, but it's not perfect. A common stock considered a bond type security? True or False? 49. Basis Points - 100 basis points are equal to 1 percentage point. True or False? 50. The Rule of 72 is a quick financial calculation that estimates the amount of time it takes to 51. an investment. Yield to call - The promised return on a bond from the present to the date that the bond is likely to be called. True or False? 52