7. If a bond is quoted in the newspaper at 88.75, the current price of a $1,000 face value bond is: (Points : 1)

$75.00 $88.00 $88.75 $887.50 $1,000.00

11. Assume the beta for the stock market in general is 1.0 and the beta for World-Wide Television Productions is 2.4. If the stock market increases in value by 10 percent, what is the expected increase in value for the World-Wide Productions stock? (Points : 1)

12 percent 20 percent 24 percent 48 percent 14 percent

Question 14.14. A mutual fund in which no sales charge is paid by the individual investor is called a(n) ____________ fund. (Points : 1)

closed-end open-end load no-load convertible fund.

Question 15.15. Which one of the following statements is true? (Points : 1)

Global investments must be evaluated just like other investment alternatives. Since global investments can only be bought in the U.S., there is no need to worry about currency exchange rates. Today, very few investors are investing in stocks and bonds issued by foreign firms or in global mutual funds. For most small investors, it makes more sense to invest in stocks and bonds issued by individual foreign firms, rather than in global mutual funds. Evaluating global investments is easy because there is plenty of good information available.

16. Which of the following is a true statement? (Points : 1)

The first order of business for an investor is acquiring the money needed to begin investing. To be useful, investment objectives must be very general. Investment goals are the same for each individual. Because investment objectives deal with the future, it is useless to plan more than five years in the future. A long-term investment objective involves a time period of five years or less.