Question: true or false 1- Equal increases or decreases in interest rates have different impacts on bond prices. a. True bFalse 2- In margin trading ,
true or false
Equal increases or decreases in interest rates have different impacts on bond prices.
a. True
bFalse
2-
In margin trading , required margins are established by central banks .
a. True
b.false
3-
A commonly used stock valuation method is the P/E method & it is fairly accurate because forecasting firms' future earnings is becoming more objective.
. True
b False
4-Stop- loss orders are limit orders for owned stocks and they are above current market prices
. a . False
b. True
5-A Market Order differs from a Limit order in that it specifies a certain price to buy or sell a security but it may never be exercised.
a True
b False
6-The Sharpe Indexuses the stock's Beta as its measure of risk . a. True O b False
7-The "Gordon Modelor the Constant Growth" stock evaluation model assumes a constant & equal annual growth in EPS & dividends. a True b. False
8-The Federal Reserve Bank has the power to manipulate the Discount Rate directly. a. True bFalse
9-The "Liquidity Premium Theory " is based on the premise that forward rates tend to over-estimate future interest rates . False b
10-The "Term Structure of Interest Rates implies that the structure of the yield curve is upward sloping when the forward rate < the spot interest rate. a. False Ob True
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