Question 21

Which instrument may allow an investor to profit from a stock price decline?
  • Question 22

    Which of the following statements is (are) valid regarding the interest rate risk for floating rate securities? The price of a floating-rate security will fluctuate because:
    I). The longer the time to the next coupon reset date, the greater the potential price fluctuation.
    II). The required margin that investors demand in the market changes.
    III). A floating-rate security can have a cap.
  • Question 23

    You are analyzing a consumer products firm. The management of the firm is considered to be fairly conservative. Which of the following would you likely observe?
  • Question 24

    A cash dividend, compared to a stock dividend, would most likely result in a ______ debt / equity ratio and a ______ current ratio.
  • Question 25

    Mutual fund operating expenses: