6) What is the EAR for 5.95% pa compounded daily? (a) 5.61% (b) 3.61% (c) 7.31% (d) 6.13% 7) What is the present value of an annuity of $500 paid annually over five years, with the first payment to be received at the end of the first year, and with a yield currently of 8 % per annum com pounded annually? a) $1996.36 b) $1699.36 c) $1969.36 d) $1669.36 What is the present value of an annuity of $250 paid at the beginning of each six month 8) period over 5 years, with yielld currently of 8% per annum compounded semi-annually? a) $2018.83 b) $2108.83 c) $2810.83 d) $2180.83 9) In an efficient market: a) security prices are seldom far above or below their justified level b) share prices react quickly to new information c) investors will not make superior returns consistently ll of the above 10) Systematic risk is also referred to as: market risk b) economic risk c) diversifiable risk d) financial risk 11) Derivatives are the financial instruments that are: doiob thon trado them