1.What expectation are implicit in a downward sloping yield curve (refers to question 36)

A. Investors expect rates to rise in the future

B. Investors expect rates to fall in the future

C. Investors expect rates to fall them rise

D. Investors expect rates to rise them fall

2.Sales, Finance and Consumer Loan Companies are. (refers Question 33)

A. Companies or trust that sell shares or units to the public and invest those proceeds thereafter

B. Provide loans to consumers who usually repay principal and interest instalments

C. Companies that continuously issue shares to investors and redeem them on demand

D. None of the above

3.In Canada, most bonds issued are priced on a semi-annual basis therefore;

A. The yield to maturity provided will be semi annual

B. The yield to maturity provided will be annual

C. The coupon rate will be paid only at maturity

D. The coupon rate will be paid annually