Question 201
Enigma Corporation anticipates that it will have a current ratio of less than one at the end of 2001.
What would be the effect on Enigma's current ratio if it raised funds through a short-term loan on the balance sheet date at the end of the year?
What would be the effect on Enigma's current ratio if it raised funds through a short-term loan on the balance sheet date at the end of the year?
Question 202
In what sense is the mean of any distribution the "best guess" of the score of any single individual selected at random from the group?
I). In a series of such guesses, the sum of the errors in one direction will balance the sum of the errors in the other direction.
II). The mean score will occur more often than any other single score.
III). The chances are 50-50 that any individual will be above or below the mean.
I). In a series of such guesses, the sum of the errors in one direction will balance the sum of the errors in the other direction.
II). The mean score will occur more often than any other single score.
III). The chances are 50-50 that any individual will be above or below the mean.
Question 203
An investor wishes to liquidate their position in an investment company. They do so by selling their shares on the NYSE. They were most likely invested in:
Question 204
The SEC's Regulation Full Disclosure requires that if security issuers provide non-public information to some market professionals or investors, they must also disclose this information to the public. The requirement helps:
Question 205
County Farm Insurance Co. manages a portfolio of corporate bonds for the purpose of producing cash flows sufficient to meet liabilities originating from its sale of life insurance policies. Credit rating and the size and timing of coupon and principal payment have been the criteria used to select bonds for the portfolio. An unexpected decrease in the level of market yields may:
I). increase the market value of bonds in the portfolio
II). reduce income realized from reinvestment of coupons
III). cause callable bonds to be called by issuers
I). increase the market value of bonds in the portfolio
II). reduce income realized from reinvestment of coupons
III). cause callable bonds to be called by issuers