A share of stock is expected to pay a dividend of $1.00 one year from now, with growth at 5% thereafter. In the context of a dividend discount model, the stock is correctly priced today at $10.
According to the single stage, constant growth dividend discount model, if the required return is 15%, the value of the stock two years from now should be:

In testing a hypothesis using a statistic Y, a critical region is chosen to meet which of the following conditions:
I). the probability of Y falling in the critical region when the null hypothesis is true is ALPHA
II). the probability of Y falling in the critical region when the alternative hypothesis is true is greater than it not falling in the critical region region.
III). the sample size is large

Which of the following activities will decrease net working capital, all else equal? Assume the current ratio is greater than one.
I). selling of inventory at book value for cash.
II). increasing accounts payable.
III). selling marketable securities and using the proceeds to pay dividends.

A futures contract on a stock index can be settled on the expiration day by

Which of the following is (are) true?
I). A portfolio that lies above the efficient frontier is undervalued.
II). Efficient portfolios minimize variance for a given level of expected returns.
III). A zero beta portfolio is always efficient.
IV). A stock with zero correlation coefficient with a portfolio is not useful for further diversification.