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I need assistance on the math portion. FIN 3312 Quiz 1 Question 1 Fill in the Blank (1 points) Question: Jared is thinking of investing

I need assistance on the math portion.

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FIN 3312 Quiz 1 Question 1 Fill in the Blank (1 points) Question: Jared is thinking of investing in a stock with a return of 10%. You tell him only to make this investment if it maximizes his long-term Utility Standard of living Subjective wellbeing All of the above Question 2 Multiple Choice (1 points) Question: A zerocoupon bond is a bond sold at a deep discount that does not pay interest until maturity. You purchase a 10year, zerocoupon bond for $1,000 and sell it for $1,500 a year later. What interest rate did you earn over the 10 years? 0.5% 5% 10% 50% Question 3 Multiple Choice (1 points) Question: How can a US. exporter avoid exchange rate risk? Seek to denominate invoices in the currency of the offshore company Seek a loan from an international bank to fund exports Seek to denominate payables in the currency of the offshore company Seek to denominate invoices in U.S. dollars Question 4 Multiple Choice (1 points) Question: Over your long career as a financial analyst, you accumulate a portfolio of financial assets that sustains your retirement standard of living (utility). You read that the Federal Reserve will lower interest rates soon due to low inflation levels. You expect the value of your portfolio to: : _, ' Questionable practices in the short term will be found out in the long term and reduce stockholders' as well as society's wealth All of the above Question 8 Multiple Choice (1 points) Question: What are a government's, an individual's, and a firm's goals, respectively? Minimize poverty, maximize wealth, minimize costs Maximize welfare, maximize utility,rmaximize profits Minimize poverty, maximize utility, maximize profits Maximize welfare, maximize wealth, minimize costs Question 9 Multiple Choice (1 points) Question: When the government incurs budget deficits: It becomes a large competitor in the market for loanable funds against corporations seeking the same funds. it raises interest rates overall. The higher interest rates tend to choke economic growth. All of the above Question 10 Multiple Choice (1 points) Question: Which form of business organization is Characterized by unlimited liability and unlimited life? Sole proprietorship Corporation Partnership None of the above Question 11 Multiple Choice (1 points) Question: Which of the following could represent an agency problem? Reinvesting in research to develop a new product The corporate CEO buying a private jet Buying new plant safety equipment ' All of the above Question 12 Multiple Choice (1 points) Question: Which of these is not a preferred method of increasing the money supply by any reputable central bank? Lowering the discount rate Lowering the reserve requirement Printing currency Selling Treasury securities to banks Question 13 Multiple Choice (1 points) Question: While earnings per share (EPS) reflects accurate accounting information about the current performance of the firm, it is NOT a good measure of longterm profitability because: EPS omits future cash flows and risks associated with these cash flows. EPS is easy to use. Net income is a fairly accurate measure of the firm's potential to produce cash flows over the long run. EPS takes into consideration a firm's current expenditures in expansion projects designed to increase the firm's future cash flows. Question 14 Multiple Choice (1 points) Question: Why do lowerpriced assets bring higher rates of return? The risk on lowerpriced assets is lower than on higherpriced assets. There is no relationship between price and rates of return. The risk on lowerpriced assets is higher than on higherpriced assets. None of the above Question 15 Multiple Choice (1 points) Question: You are the CEO of a corporation and you just decided to invest in new factories that will lead to future growth for your company. You made a: Capital structure or financing decision Capital budgeting or investment decision Dividend policy decision Working capital management decision Question 16 Multiple Choice (1 points) Question: You purchase a 2year, zerocoupon bond for $92,500 and sell it for $100,000 at the end of 2 years. What average APR did you earn on the bond? 0.04% 0.08% 4.05% 8.11% Question 17 Multiple Choice (1 points) Question: You want to buy the stock of a publiclytraded company. You have all of the information that is available in the market about the company, and you are confident that the price of the stock reflects this information. This is an example of: Market efficiency. Market rationality. Both market efficiency and market rationality. None of the above. 1 Rise Fall Uncertain without information about bond risk Remain constant since the Fed deals with the money supply Question 5 Multiple Choice (1 points) Question: Stock prices are said to provide a measure of the value of a corporation because: Markets are efficient and therefore stock prices incorporate all available information known to investors. Stock prices are predetermined by the stock exchange and hence provide the best measure of a company's worth. Stock prices reflect accounting book values and are therefore very accurate. Stock prices are rarely associated with a company's true value. Question 6 Multiple Choice (1 points) Question: The CEO of an American car manufacturing plant 1 buys engine parts from Japan shortly before the yen's value increases. The invoice is denominated in yens. The CEO exposed his company to: Interest rate risk Reinvestment rate risk Exchange rate risk All of the above Question 7 Multiple Choice (1 points) Question: The reason we concentrate on longterm performance as opposed to shortterm performance of a firm is because: In the short term, the firm may cook the books and the wrongdoers may be able to make a quick exit. In the long term, the corrupt practices of a firm are likely to become obvious in terms of poor performance, lawsuits, or both

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