26-33

26. Which of the following is a major objective of unit investment trusts? a. capital preservation c. current income b. capital gains d. tax deferment 27. Which of the following ETF's (exchange traded fund) provides exposure to 500 U.S.large-capitalization companies? a. Spider b. Clubs c. Cubes d. Diamonds 28. In an underwriting arrangement, the risk is assumed by the: a. issuer of the security b. investment bankers c. commercial bankers d. institutional investors summarizes information about a new security issue. c. prospectus 29. The a. syndicate offer b. IPO d. shelf rule 30 The price that some seller is trying to sell a stock to a dealer for is known at the: a. the bid quote.b. the ask quote. c. the closing price. d. the specialist price 31. If an investor is attempting to buy a stock that is very volatile, it would be best to use a: a. market order (b) limit order (c)stop-loss order (d) contingency order 32. Which of the following statements regarding the Dow Jones Industrial Average (DJIA) is false? A. The DJIA is not very representative of the market as a whole. B. The DJIA consists of 30 blue chip stocks. C. The DJIA is affected equally by changes in low and high priced stocks. D. The DJIA divisor needs to be adjusted for stock splits. E. The value of the DJIA is much higher than individual stock prices 33. No-loads charge no sales fee because: a. they are legally prohibited from doing so. b. they charge a redemption fee instead. c. they have no sales force. d. they charge a 12b-1 fee instead