Question 601
For which of the following fixed-income securities would the reinvestment rate risk be the highest?
Question 602
In a common-size statement, the balance sheet is expressed as a percentage of ____________ while the income statement is expressed as a percentage of ____________.
Question 603
Inventories valued using ______ are least likely to incur inventory write-downs.
Question 604
Which of the following statement(s) is/are true?
I). The Accumulated Depreciation account has a credit balance and is increased by the year-end adjusting entry for depreciation.
II). For most companies, adjusting entries are made on a yearly basis.
III). An end-of-period journal entry in which the Office Supplies Expense account is debited and the Office Supplies account is credited is an example of an adjusting entry.
IV). Adjusting entries may involve recording expenses before they are due to be paid.
I). The Accumulated Depreciation account has a credit balance and is increased by the year-end adjusting entry for depreciation.
II). For most companies, adjusting entries are made on a yearly basis.
III). An end-of-period journal entry in which the Office Supplies Expense account is debited and the Office Supplies account is credited is an example of an adjusting entry.
IV). Adjusting entries may involve recording expenses before they are due to be paid.
Question 605
What is the duration estimate of the dollar price change for a 10%, 20-year bond with a duration of
9 .969, selling at 132.03, when the yield changes by 1 basis point?
9 .969, selling at 132.03, when the yield changes by 1 basis point?