Free Access CFA.CFA-Level-I.v2023-07-10.q797 Practice Test (Page 46)

Question 221

Which of the following statements is false?

A.To calculate the weighted average of capital a firm uses the target proportions of debt, preferred stock, and common equity.

B.To calculate the weighted average of capital a firm uses the actual proportions of debt, preferred stock, and common equity.

C.The weights used to calculate the WACC should be based on the market values of debt and equity.

Question 222

Average fixed cost

A.continually declines with increasing output.

B.remains unchanged with increasing output.

C.initially declines and then rises with increasing output.

Question 223

Which of the following best describes the relationship between revenue and retained earnings?

A.Revenue represents a cash receipt; retained earnings is an element of stockholders' equity.

B.Revenue increases net income, which in turn increases retained earnings.

C.Revenue represents the price of goods sold or services rendered; retained earnings represents cash available for paying dividends.

Question 224

When an economy dips into a recession, automatic stabilizers will tend to alter government spending and taxation so as to:

A.reduce interest rates, thus stimulating aggregate demand.

B.enlarge the budget deficit (or reduce the surplus).

C.ensure that the budget will remain in balance.

Question 225

The mean of sample with a known population variance of 25 was estimated as 12.5. The sample size was 22 and the sample variance was 28. Which of the following represents the appropriate 95% confidence interval for the normally distributed population?

A.10.41, 14.59

B.10.29, 14.71

C.10.74, 14.26

Other Version: 2567CFA.CFA-Level-I.v2023-11-17.q478; 3159CFA.CFA-Level-I.v2022-08-25.q182; 12590CFA.CFA-Level-I.v2022-03-06.q736; 109CFA.Prepawayete.CFA-Level-I.v2021-11-06.by.bruce.305q.pdf

Latest Upload: 114GitHub.GitHub-Actions.v2025-10-04.q24; 176Cisco.350-701.v2025-10-04.q562; 164Microsoft.AZ-120.v2025-10-03.q125; 169Huawei.H12-811_V1.0.v2025-10-02.q205; 158PMI.PfMP.v2025-10-02.q265; 134EMC.D-NWR-DY-01.v2025-10-02.q145; 174Salesforce.Public-Sector-Solutions.v2025-10-01.q106; 179Microsoft.SC-300.v2025-10-01.q358; 130Snowflake.DSA-C03.v2025-10-01.q105; 151Fortinet.NSE7_SDW-7.2.v2025-10-01.q108

Question 221

Question 222

Question 223

Question 224

Question 225

Download PDF File