A failure by the firm to meet the terms specified in the indenture of a debt issue is called:

A) risk B) default C) market risk D) sovereign risk

Taxing and spending by the Federal Government is called: A) monetary policy B) fiscal policy C) easy policy D) taxing policy

What type of mutual fund invests in highly liquid, near term instruments including U.S. T Bills, Commercial Paper and other cash equivalents?

A) A stock fund B) A bond fund C) A money market fund D) A municipal bond fund

If on Monday 1 U.S. dollar could be exchanged for 130 Euros, then on Wednesday 1 U.S. dollar can be exchanged for 110 Euros, which is true:

A) the Euro has appreciated B) the U.S. dollar has appreciated C) the exchange rate is unchanged D) none of the above

A bond secured by the real estate assets put up as collateral on a collection of mortgages is referred to as a:

A) corporate bond B) debenture C) junk bond D) mortgage bond

Municipal bonds which are backed by the full taxing authority of the issuing state are referred to as:

A) revenue bonds B) taxation bonds C) general obligation bonds D) insurance bonds

The risk associated with a government defaulting on its debt obligations is called: A) liquidity risk B) market risk C) sovereign risk D) interest rate risk

The present value of $10,000 to be received in 15 years if discounting at 10% =

The present value of $200,000 to be received in 20 years if discounting at 12% =

The present value of $650,000 to be received in 30 years if discounting at 5% =