106、An analyst gathered the following information about the market prices of two option-free bonds, and their expected prices given a 50 basis point increase or decrease in yield.
|
| Expected Price for | Bond. | Market
Price | 50 bp
Increase | 50 bp
decrease | A | 102.00 | 101.04 | 102.97 | B | 88.69 | 83.81 | 94.07 |
The effective durations of Bond A and Bond B are closest to:
| Bond A | Bond B | A. | 0.95 | 5.78 | B. | 0.95 | 11.57 | C. | 1.89 | 5.78 | D. | 1.89 | 11.57 |
Select exactly 1 answer(s) from the following: A. Answer A. B. Answer B. C. Answer C. D. Answer D.
107、A U.S. investor has purchased a tax-exempt 5-year municipal bond at a yield of 3.86%, which is 100 basis points less than the yield on a 5-year option-free U.S. Treasury. If the investor's marginal tax rate is 32%, then the taxable-equivalent yield and the yield ratio are closest to:
| Taxable Equivalent
Yield | Yield Ratio | A. | 2.62 | 0.79 | B. | 2.62 | 1.26 | C. | 5.68 | 0.79 | D. | 5.68 | 1.26 |
Select exactly 1 answer(s) from the following: A. Answer A. B. Answer B. C. Answer C. D. Answer D.
108、An analyst gathered the following information about a portfolio comprised of three bonds: Bond | Price ($) | Par Amount
Owned | Duration | A | 102,000 | $7 million | 1.89 | B | 94.356 | $5 million | 7.70 | C | 88.688 | $3 million | 11.55 |
Assuming there is no accrued interest, then the portfolio duration is closest to: Select exactly 1 answer(s) from the following: A. 5.55 years. B. 5.76 years. C. 6.82 years. D. 7.05 years.
109、Which of the following statements is least accurate with respect to the advantages of open-end exchange traded funds (ETFs)? Open-end ETFs: Select exactly 1 answer(s) from the following: A. tend to trade closer to their net asset values than close-end index funds. B. provide for more immediate reinvestment of dividends than index mutual funds. C. provide a more cost-effective way for large institutions to invest in emerging markets. D. provide lower exposure to capital gains distribution taxes than traditional mutual funds.
110、A real estate investment has the following characteristics: Annual rental income | $1,800,000 | Annual operating expenses | $1,200,000 | Available mortgage rate | 6% | Financing percentage | 90% | Required rate of return | 15% | Estimated holding period | 5 years | Investor’s tax rate | 25% |
Based on the income approach, the value of the investment is closest to: Select exactly 1 answer(s) from the following: A. $4,000,000. B. $5,455,000. C. $6,133,000. D. $8,696,000.
[此贴子已经被作者于2008-11-6 11:42:59编辑过] | 
发表于 2008-11-6 10:28
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