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please give me the correct answer Which of the following statement is incorrect? 1. Most traditional mutual funds allow investors to redeem their share of

please give me the correct answer

Which of the following statement is incorrect?

1. Most traditional mutual funds allow investors to redeem their share of the fund only at the close of business.

2. Investment banks underwrite security offerings, advise corporations regarding the design and pricing of new securities, buy these securities from the issuing corporation, and resell them to investors.

3. When a firm sells goods and services to public first time and the Federal Reserve issues IPOs for the firm, but an investment bank helps with the IPO to overprice the issues.

4. Most of the answers are correct.

5. The foreign trade balance describes the level of imports relative to exports.

Which of the following statement is incorrect?

1. Most of the answers are correct.

2. The average rate of return required by investors is called the weighted average cost of capital (WACC).

3. A partnership exists whenever two or more persons or entities associate to conduct a noncorporate business for profit.

4. Derivatives are securities whose values depend on the values of some other traded assets.

5. Public markets are where transactions are worked out directly between two parties and these transactions are called private placements.

Which of the following statement is correct?

1. Corporate bonds are riskier than U.S. government debt and the riskiness depends on strength of issuer.

2. Like typical mutual funds, which can have thousands of investors, hedge funds have many small investors and a relatively large number of low-net-worth individuals.

3. U.S. Treasury notes and bonds are issued by the largest U.S. corporations.

4. All the answers are incorrect.

5. The prime rate is the rate that U.K. banks report for loans made to other U.K. banks.

Which of the following statement is correct?

1. If the Federal Reserve Board purchases Treasury securities held by banks, then the increased demand causes Treasury securities prices to go up.

2. Some securities are created from packages of other real assets, a process called simulation.

3. All the answers are incorrect.

4. Most traditional mutual funds allow investors to buy and sell their shares during normal trading hours as opposed to ETFs which can be bought and sold after markets are closed.

5. The larger the federal deficit, other things held constant, the lower the level of interest rates.

Which of the following statement is correct?

1. All the answers are incorrect.

2. Capital markets are the markets for debt securities with maturities of less than a year.

3. Investment banks take premiums, invest these funds in stocks, bonds, real estate, and mortgages, and then make payments to beneficiaries.

4. Because these investors are supposed to be sophisticated, hedge funds are much less regulated than mutual funds.

5. The common stocks of a corporation is about a set of rules drawn up by the founders of the corporation and guides corporate managers to follow.

Which of the following statement is incorrect?

1. If the Fed wishes to slow down the economy and reduce inflation, the Fed sells Treasury securities to banks, which reduces banking reserves and causes an increase in short-term interest rates but a decrease in long-term inflationary pressures.

2. Money markets are the markets for corporate stocks and debt maturing more than a year in the future.

3. general partners potentially can lose all of their personal assets in the event of bankruptcy because each general partner is liable for the businesss debts.

4. One of the properties of cash flows that determine a companys value is about the risk of the cash flowssafer cash flows are worth more than uncertain cash flows.

5. Most of the answers are correct.

Which of the following statement is correct?

1. All the answers are incorrect.

2. The intrinsic value of a firm is obtained using the expected sales and the cost of goods when all relevant information is incorporated.

3. The Federal Deposit Insurance Corporation (FDIC), which is backed by the U.S. government, insures up to $250,000 per depositor.

4. The fundamental value of a firm is obtained using the expected cash reserves and past dividends when all relevant information is incorporated.

5. Investment banks are cooperative associations whose members have a common bond, such as being employees of the same firm or living in the same geographic area.

Which of the following statement is incorrect?

1. If debt matures in more than a year, it is called a capital market security.

2. Commercial banks help companies raise capital through underwriting activities.

3. Some securities are created from packages of other financial assets, a process called securitization.

4. Most of the answers are correct.

5. One of the advantages of a corporation is that it is easy transfers of ownership interests.

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