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5) Which one of the following statements about common stock returns is?true? A. Over the last 5?decades, stock market returns have averaged between?10% and?12%. B.

5) Which one of the following statements about common stock returns is?true?

A. Over the last 5?decades, stock market returns have averaged between?10% and?12%.

B. Returns from stock provided less protection from inflation than returns from bonds.

C. Returns from stock are more predictable than returns from bonds.

D. Returns from dividends usually exceed returns from capital gains.

6) Which of the following periods experienced a bear?market?

A. 2000-2003

B. 1995-1998

C. 1963-1965

D. 2004-2006

8) Which of the following can be considered a weakness of financial ratio?analysis?

A. It compares a single?firm's operating and financial status to industry norms.

B. It is largely based on book values that have not been adjusted for inflation.

C. It compares firms without concern for firm size.

D. It emphasizes?liquidity, activity,?leverage, profitability and market measures of a firm.

9) Find the?EPS, P/E?ratio, and dividend yield of a company that has 5 million shares of common stock outstanding?(the shares trade in the market at ?$17.71?), earns 6?% after taxes on annual sales of ?$119 ?million, and has a dividend payout ratio of 39.04%. At what rate would the?company's net earnings be growing if the stock had a PEG ratio of 2??

The?stock's EPS is ?$ (?). ?(Round to the nearest?cent.)

2)

image text in transcribedimage text in transcribed
An investor deposits $15,000 into a new brokerage account. The investor buys 1,000 shares of Tipco stock for $14 per share. Two weeks later, the investor sells the Tipco stock for $16 per share. When the investor receives his brokerage account statement, he sees that there is a balance of $16,922 in his account. What belongs in item 4 on this statement? (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Price per Total Account Item Number Share Transaction Balance 1. Deposit $15,000 $15,000 2. Tipco purchase 1,000 shares $14 ($14,000) $15,000 3. Tipco sale 1,000 shares $16 $16,000 $17,000 4. 5. Balance $16,922 The fee that belongs in item 4 is: (Choose the best answer below.)Price per Total Account Item Number Share Transaction Balance O A. 4. Brokerage fee ($2,000) O B. 4. Brokerage fee ($78) O C. 4. Brokerage fee $2,000 O D. 4. Brokerage fee $78

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