QUESTION 3

1. If a company orders a 1 for 10 reverse split or consolidation...

	a.	there will be fewer shares at a lower price.
	b.	there will be fewer shares at the same price.
	c.	there will be fewer shares at a higher price.
	d.	there will be more shares at a lower price.

QUESTION 5

1. Which of the following preferred share features is least likely to be advantageous to an investor?

	a.	Cumulative
	b.	Non-callable
	c.	Purchase fund
	d.	All of these features are favourable to investors.

QUESTION 7

1. Which of the following is least likely to be a valid criticism of the Dow Jones Industrial Average?

	a.	Only 30 companies are included in it.
	b.	It is composed only of blue-chip stocks with a lower risk profile than the overall market.
	c.	It is price-weighted which means that higher-priced stocks have more influence on the Average than lower-priced stocks.
	d.	There is active trading of its futures, which means that there is more trading in Dow Jones stocks than other securities on the market.