2017年cfa一級-mock exam2008-level試題答案詳解

Level1MockExam_Part2答案詳細(xì)解1、AccordingtotheStandardsofPracticeHandbook,membersmustkeepinformationaboutclients unlesstheSelectexactly1answer(s)fromtheisleftforanotherhasnotyetsignedaisinvolvedinillegalactivities.1CorrectanswerisDGuidanceforStandardsI-VII,StandardsofPracticeHandbook2008ModularLevelI,Vol.1,p.67StudySession1-1-cexplaintheethicalresponsibilitiesrequiredbytheCodeandStandards,includingthemultiplesubsectionsofeachStandardAccordingtoStandardIII(E),membersmustkeepinformationaboutcurrent,former,andprospectiveclientsunlesstheinformationconcernsillegalactivitiesonthepartofthe2、DoloresBridgestone,CFA,managessmall-capportfoliosforinstitutionalclients.Bridgestoneisconvinced,giventhedeterioratingeconomicconditions,thatasagroup,small-c quitieswillunderperformduringthenext12-24months.Topreserveherclient'swealth,Bridgestonesellswhatsheconsiderstobethemostvulnerablesmall-c quities.Afterconsiderableresearch,shebuyslarge-c quitiesthatshebelievesarebetterpositionedtoweathertheexpectedeconomicdownturn.HasBridgestoneviolatedanyCFAInstituteStandardsofProfessionalConduct?Selectexactly1answer(s)fromtheYes,relatingtoYes,relatingtoloyalty,prudence,andYes,relatingtodiligenceandreasonablebasis.2CorrectanswerisBGuidanceforStandardsI-VII,StandardsofPracticeHandbook2008ModularLevelI,Vol.1,pp.60-62StudySession1-2-bAccordingtoStandardIII(C),memberswhoareresponsibleformanagingaportfoliotoaspecificmandate,strategy,orstyle,mustonlymakeinvestment mendationsortakeinvestmentactionsthatareconsistentwiththestatedobjectivesandconstraintsoftheportfolio.3、AccordingtotheStandardsofPracticeHandbook,asupervisorestablishingprocedurestoeliminatesofinterestrelatingto altradingwouldleastlikely mendrequiring:Selectexactly1answer(s)fromthedisclosureofpreclearanceabanonemployeeduplicateconfirmationsofemployeetransactions.3CorrectanswerisCGuidanceforStandardsI-VII,StandardsofPracticeHandbook2008ModularLevelI,Vol.1,p.97StudySession1-2-cmendpracticesandproceduresdesignedtopreventviolationsoftheCodeofEthicsandStandardsofProfessionalConductBanningemployeeinvestmentsis mended.AccordingtoStandardVI(B),investmenttransactionsclientsandemployersmusthavepriorityoverinvestmenttransactionsinwhichamemberorcandidateisthebeneficialowner.mendedproceduresforcompliancewiththisStandardincludeestablishingreportingproceduresforinvestment mendedreportingrequirementsincludedisclosureofholdings;preclearanceprocedures;andduplicateconfirmationsofemployeetransactions.Thesereportingrequirementsare mendedformonitoringandenforcingproceduresestablishedtoeliminatesofinterestrelatingto altrading.4、WhichofthefollowingmayclaimcompliancewiththeGlobalInvestmentPerformanceStandardsSelectexactly1answer(s)fromtheFinancialPortfolioPortfolioAssetmanagement4CorrectanswerisIntroductiontotheGlobalInvestmentPerformanceStandards2008ModularLevelI,Vol.1,p.120StudySession1-3-aexplainwhytheGIPSstandardswerecreated,whatpartiestheGIPSstandardsapplyto,andwhoisservedbythestandardsOnlyinvestmentmanagementfirms tuallymanageassetscanclaimcompliancewiththeComplianceisfirm-wideprocessthatcannotbeachievedonasingleproduct,portfolio,or5、TheGlobalInvestmentPerformanceStandards(GIPSwerecreatedSelectexactly1answer(s)fromthe pliantfirmswithacompetitiveeducateinvestorsonmisleadingpracticesinperformanceensurefairrepresentationandfulldisclosureofperformanceimposeCFAInstituteStandardsofProfessionalConductonnonmembers.5CorrectanswerisCIntroductiontotheGlobalInvestmentPerformanceStandards(GIPS)2008ModularLevelI,Vol.1,pp.119-120StudySession1-3-explainwhytheGIPSstandardswerecreated,whatpartiestheGIPSstandardsapplyto,andwhoisservedbytheInthepast,theinvestmentcommunityhadgreatdifficultymakingmeaningfulcomparisonsonthebasisofaccurateinvestmentperformancedata.TheGIPSstandardsensurefairrepresentationandfulldisclosureofperformanceinformation.6、AccordingtotheStandardsofPracticeHandbookmembersareleastlikelyrequiredtodisclosetoclientsSelectexactly1answer(s)fromtheserviceasbeneficialownershipoffirm'smarket-making6CorrectanswerisDGuidanceforStandardsI-VII,StandardsofPracticeHandbook2008ModularLevelI,Vol.1,p.90StudySessions1-1-c,1-2-explaintheethicalresponsibilitiesrequiredbytheCodeandStandards,includingthemultiplesubsectionsofeachStandard;distinguishbetweenconductthatconformstotheCodeandStandardsandconductthatviolatestheCodeandtheStandardsMembersarenotrequiredtodisclosetheirresponsibilitiesasCFAcharterholderstoclients.Theyare,however,requiredtodiscloseallmattersthatcouldreasonablybeexpectedtoimpairtheirindependenceandobjectivityorinterferewithrespectivedutiestotheirclients,prospectiveclients,andemployer.Serviceasadirector,market-makingactivities,andbeneficialownershipofstockarethreeexamplesofsuatters.7、AccordingtotheStandardsofPracticeHandbookamemberwithsupervisoryresponsibilitiesviolatestheCFAInstituteStandardsofProfessionalConductwhen:Selectexactly1answer(s)fromthedelegatingsupervisoryfailingtopreventviolationsofthefailingtopreventviolationsoftheCFACodeandfailingtoestablishandimplementwrittencomplianceprocedures.7CorrectanswerisDGuidanceforStandardsI-VII,StandardsofPractice2008ModularLevelI,Vol.1,pp.76-78StudySessions1-1-c,1-2-bexplaintheethicalresponsibilitiesrequiredbytheCodeandStandards,includingthemultiplesubsectionsofeachStandard;distinguishbetweenconductthatconformstotheCodeandStandardsandconductthatviolatestheCodeandtheStandardsMemberswithsupervisoryresponsibilitymustmakereasonableeffortstodetectviolationsoflaws,rules,regulations,andtheCodeandStandards.Theyexercisereasonablesupervisionbyestablishingandimplementingwrittencomplianceprocedures.8、RachelPederson,CFA,hasmanagedtheaccountofOlgaStefanssonforthepastdecadeandhasaverygoodrelationshipwithherclient.StefanssonhasabeachhouseintheBahamasandoffersPedersonandherfamilytwofreeweeksatthehouseasarewardfortheexcellentreturnsgeneratedinheraccount.Pedersonissobusyatworkshedoesnot lanyonewheresheisgoingforvacation.WhenacceptingStefansson'soffer,PedersonleastlikelyviolatestheCFAInstituteStandardrelatingto:Selectexactly1answer(s)fromtheLoyaltytoDisclosure Independenceand8CorrectanswerisDStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),pp.15-16,83,91,113StandardsI-VII2008ModularLevelI,Vol.1,pp.21-22,69,75,89StudySession1-2-ademonstrateathoroug owledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductTheStandardsrequirethatmembersnotacceptgiftsorcompensationthatmightreasonablycompetewiththeiremployer’sinterestunlesstheyobtainwrittenconsentfromallpartiesinvolved.ArrangementssuchasthatofferedtoPedersonmaycauseaofinterestorresultinpartialitythatcouldimpedePederson’sindependenceandobjectivity.9、VeraAbel,CFA,istheresearchdirectorforZigZagInvestments.Abeldiscoversoneofhertopyststradinginstocksinadvanceofclienttransactionsandrepeatedlywarnshimthatthisactivityisnotappropriate.DoesAbelviolateanyCFAInstituteStandardsofProfessionalConduct?Selectexactly1answer(s)fromtheYes,withrespecttofairYes,withrespecttoresponsibilitiesofYes,withrespecttodiligenceandreasonablebasis.9CorrectanswerisCStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),pp.93-94StandardsI-VII2008ModularLevelI,Vol.1,pp.76-77StudySession1-2-ademonstrateathorougowledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductTheStandardsrequirethatmembersmakereasonableeffortstodetectandpreventviolationsofapplicablelaws,rules,andregulations.Supervisorsexercisereasonablesupervisionbyestablishingandimplementingwrittencomplianceproceduresandensuringtheproceduresarefollowedthroughperiodicreview.Onceasupervisorlearnsofapossibleviolation,thesupervisormustpromptlyinitiateaninvestigation.Warningtheemployeetoceasetheactivity,asAbelhasdone,isnotenough.Pending eoftheinvestigation,Abelmayneedtoplacelimitsontheemployee’sactivitiestoensuretheviolationswillnotbe10Afterworkeachday,ShinichiTakada,CFA,runsapopularInternetblogwherehecommentsonmicro-capstocks.TheblogincludesabioofTakadawithhiseducationandemploymenthistoryHereceivesnocompensationfortheblog.Onthe mendspurchasesandsalesofstocksbaseduponastrology.Whenblogging,TakadaleastlikelyviolatesCFAInstituteStandardrelatingto:Selectexactly1answer(s)fromtheFairDutytoLoyalty,Prudence,andDiligenceandReasonableBasis.10CorrectanswerisAGuidanceforStandardsI-VII,StandardsofPracticeHandbook2008ModularLevelI,Vol.1,pp.50-53,69-70,80-81StudySession1-2-demonstrateathoroug owledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductTakada’suseofastrologyasaresear ethodologyviolatestheStandardsrelatingtoLoyalty,Prudence,andCareaswellasDiligenceandReasonableBasis.Hisresearethodologyandblogmayalsoreflectpoorlyonhisemployerandcausetheemployerharm.TakadaisleastlikelytoviolatetheStandardrelatingtoFairDealingbecausetheblogisamethodofmasscommunicationthatmakesTakada’sinvestment mendationsavailabletoallreaderssimultaneously.11、JimmiAlvarez,CFA,isthefounderofaninvestmentadvisoryfirmservinghighnetworthinvestors.Forthepastdecade,Alvarezhasinvestedhisclients'moneyinmid-capstocks.Aftermuchresearch,Alvarezdeterminesthatsmall-capstocksareundervaluedandmovesaportionofallofhisclientsassetsintothesestocksAlvarezplanstoinformhisclientsofthischangewiththeiryear-endstatementsinthreemonths.HasAlvarezviolatedanyCFAInstituteStandards?Selectexactly1answer(s)fromtheYes,withrespecttoYes,withrespecttodiligenceandreasonableYes,withrespecttocommunicationwithclientsandprospectiveclients.11CorrectanswerisDStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),pp.105-107StandardsI-VII2008ModularLevelI,Vol.1,pp.84-85StudySession1-2-ademonstrateathorougowledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductAccordingtotheStandards,membersmustpromptlydisclosetoclientsanychangestotheirinvestmentprocess.Alvarezshouldnotifyhisclientspromptlyofthechangeinhisinvestmentprocessandstrategy.12、ScottCampbell,CFA,developsa itativemodelforSelectingmortgagebonds.Campbelliscarefulinwritingallassumptionsinthemodelandhisreasoningfortheassumptions.AnotherfirmoffersCampbellapositionleadingthestartupofamortgagebondresearchdepartment.Inhisnewposition,Campbellcreatesasimilarmodelandsupportings.DoesCampbellviolateanyCFAInstituteStandards?Selectexactly1answer(s)fromtheYes,withrespecttorecordYes,withrespecttoloyaltytoYes,withrespecttopreservationofity.12CorrectanswerisAStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),pp.83-89,111StandardsI-VII2008ModularLevelI,Vol.1,pp.70-74,88StudySession1-2-ademonstratea owledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalTheStandardsdonotimposeaprohibitionontheuseofexperienceorknowledgegainedatoneemployerfrombeingusedatanotheremployer.Becauserecordscreatedonbehalfofanemployerarethepropertyofthefirmandnotthemember,Campbellmusttakecarenottousethepropertyorrecordsofhisformeremployerwhencreatingamodelforhisnew13、RomarBrockman,CFA,isasell-side yst.Approxima yhalfofBrockman'scompensationcomesfromhisfirm'sinvestment-bankingdivision.BrockmanisaskedtowriteareportaboutAnacortesConcrete(AC),aninvestment-bankingclient.Despiteconcernsabouttheslowdowninconcretedemand,BrockmanissuesaverypositivereportonAC.Whenissuinghisreport,BrockmanleastlikelyviolatestheCFAInstituteStandardrelatingto:Selectexactly1answer(s)fromtheLoyaltytoDisclosureofLoyalty,Prudence,and13CorrectanswerisAStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),pp.113-115StandardsI-VII2008ModularLevelI,Vol.1,pp.89-91StudySession1-2-ademonstrateathoroug owledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductTheStandardsrequirememberstoputclientinterestsaheadofmemberandemployerinterests.BecauseBrockman’scompensationisdependentuponinvestmentbankingrevenues,Brockmanmaynotbeobjective.Whenissuingthereport,heisinjeopardyofviolatingStandardsrelatingtoIndependenceandObjectivity;Loyalty,Prudence,andCare;andDisclosureof14、EricPantojaisenrolledasacandidateintheCFAexaminationprogram.HeworksasanassistantforChehalisInvestments(CI).PantojaseesCI'spurchaselistandpurchasesseveralofthe mendedstocks.PantojaleastlikelyviolatestheCFAInstituteStandardrelatingto:Selectexactly1answer(s)fromtheLoyaltytoPriorityofDiligenceandReasonableBasis.14CorrectanswerisDStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),pp.121-122StandardsI-VII2008ModularLevelI,Vol.1,pp.36,70,81,94-95StudySession1-2-ademonstrateathorougowledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductPantojaleastlikelyviolatestheStandardrelatingtoDiligenceandReasonableCarebecauseheistakinginvestmentactionsonhisownbehalfratherthanonbehalfofclients.HisactionsviolatetheStandardsrelatingtoPriorityofTransactions(hetradesaheadofhisemployeranditsclients),LoyaltytoEmployer(hisactionscauseharmtohisemployer),andMisconduct(hisactionsreflectadverselyonhisprofessionalintegrity).15、FredBrubacher,CFA,isanystatVanCityBank(VCB).Brubacherreceivescompensationforreferralstothebank'sbrokerageand alfinancial-planningdivisions.Hisrecentreferralsarelong-timeclientsfromhispreviousemployer,andBrubacherdoesnotmentionVCB'sreferralarrangement.DoesBrubacherviolateanyCFAInstituteStandards?Selectexactly1answer(s)fromtheYes,withrespecttoYes,withrespecttoYes,withrespectto sofinterest.15CorrectanswerisDStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),pp.127StandardsI-VII2008ModularLevelI,Vol.1,pp.99StudySession1-2-ademonstrateathoroug owledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductCompensationorotherbenefitsreceivedforthe mendationofproductsorservicesrepresentsa ofinterest.AccordingtotheStandards,Brubachermustdisclosethereferralfeearrangement.16、HaileyDonnellyworkslonghoursasaninvestment ystandisstudyingforLevelIoftheCFAExamination.Sheisconcernedthatsheisnotadequaypreparedfortheexam.Desperatetopass,Donnellywritesseveralformulasonasmallpieceofp rwhichshetakesintotheexaminationroom.DuringtheexamDonnellyrealizesthatshedoesnotneedtheformulas.HasDonnellyviolatedanyCFAInstituteStandards?Selectexactly1answer(s)fromtheYes,withrespecttofairYes,withrespecttodutytoYes,withrespecttoresponsibilitiesasaCFACandidate.16CorrectanswerisDStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),p.131StandardsI-VII2008ModularLevelI,Vol.1,pp.101-102StudySession1-2-ademonstrateathorougowledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductCandidatesmustnotparticipateinanyconductwhichcompromisesthereputationorintegrityoftheCFA17、AbigailUnger,CFA,isaportfoliomanageratCascadeInvestments(CI).Afterthoroughlyresearchingmortgage-backedsecuritiesandcheckingclientinvestmentobjectivesforappropriateness,Ungerpurchasestwoofthebondsforseveralclients.Followingsteepdeclinesinthemortgage-backedsecurities,severalclientscomplaintoCI,claimingthebondswereunsuitableinvestments.HasUngerviolatedanyCFAInstituteStandards?Selectexactly1answer(s)fromtheYes,withrespecttoYes,withrespecttoYes,withrespecttodiligenceandreasonablebasis.17CorrectanswerisAStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),pp.25-27,33,69-71StandardsI-VII2008ModularLevelI,Vol.1,pp.29-30,35,60-62StudySession1-2-ademonstrateathoroug owledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductUngerexerciseddiligenceinherresearch;hadareasonablebasisfortheinvestment;andconfirmedthesuitabilityoftheinvestmentforherclients.HeractionswereconsistentwiththeStandardsofProfessionalConduct.18、AL.GuzdarisaportfoliomanageratWoodstockInvestmentsWIGuzdarmanagesabillion-dollarhedgefundandtwolargemutualfunds.Marketdeclinescausesignificantlossesforalloftheaccounts.Unabletofindbidsforcertainthinly-tradedstocks,Guzdartradesthestocksbetweentheaccountstoprovideliquidityandpricing.GuzdarleastviolatestheCFAInstituteStandardrelatingSelectexactly1answer(s)fromtheMarket18CorrectanswerisDStandardsofPracticeHandbook,9thedition(CFAInstitute,2005),p.49StandardsI-VII2008ModularLevelI,Vol.1,pp.31,36,47,50StudySession1-2-ademonstrateathoroug owledgeoftheCodeofEthicsandStandardsofProfessionalConductbyapplyingtheCodeandStandardstospecificsituationspresentingmultipleissuesofquestionableprofessionalconductGuzdarleastlikelyviolatestheStandardrelatingtoLoyalty,Prudence,andCareasheattemptedtoprovideliquiditytohisclients.However,Guzdar’sactionsinflatetradingvolumesanddistortpricesandthusviolatetheStandardrelatingtoMarketManipulation.GuzdarviolatestheStandardrelatingtoMisconductbecausemarketmanipulationreflectsadverselyonhisprofessionalintegrity.GuzdarmayalsoviolatetheStandardrelatingtoMisrepresentationifhemisrepresentstheactualliquidityandvalueofthestocksheldintheportfolios.19、Amoneymanagerhas$1,000,000toinvestforoneyear.Shehasidentifiedtwoalternativeone-yearsofdeposit(CD)shownbelow:CompoundingAnnualinterestWhichCDhasthehighesteffectiveannualrate(EAR)andhowmuchinterestwillitearn?HighestEARInterestearnedSelectexactly1answer(s)fromtheCorrectansweris“TheTimeValueofMoney,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.179-183StudySession2-5-calculateandinterprettheeffectiveannualrate,giventhestatedannualinterestrateandthefrequencyofcompounding,andsolvetimevalueofmoneyproblemswhencompoundingperiodsareotherthanannualTheeffectiveannualrate(EAR)andinterestearnedonthealternativeinvestments EAR=(1.02)4-1=1.082432-1=0.082432=8.2432%Interest=$1,000,000x8.2432%=$82,432Continuous:EARe0.0795x1=1.082746=Interest=$1,000,000x8.2746%=Therefore,theCDpaying7.95%compoundedcontinuouslyoffersthehighesteffectiveannualrate.NotethattheEARisthesameconceptastheeffectiveannualyield(EAY)presentedinReading6.20JeMacDonaldisshopforahome.Hisbudgetwillsupportamonthlypaymentof$1,300ona30-yearmortgagewithanannualinterestrateof7.2%.IfMacDonaldputsa10%downpaymentonthehome,themosthecanpayforhisnewhomeisclosestto:Selectexactly1answer(s)fromtheCorrectansweris“TheTimeValueofMoney,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.190-208StudySession2-5-d,calculateandinterpretthefuturevalue(FV)andpresentvalue(PV)ofasinglesumofmoney,anordinaryannuity,anannuity rpetuity(PVonly),andaseriesofunequalcashflows;drawatimeline,specifyatimeindex,andsolvetimevalueofmoneyapplications(forexample,mortgagesandsavingsforcollegetuitionorretirement)MacDonald’sbudgetwillsupportamonthlypaymentof$1,300.Givena30-yearmortgageat7.2%,theloanamountwill$191,517.76(N=360,%I=0.6,PMT=1,300,solveforPV).IfMacDonaldmakesa10%downpayment,thenthemosthecanpayforhisnewhome=$191,517.76/(1-0.10)=$212,797.51≈$212,800.21、ItisleastappropriatetousetheinternalrateofreturnIRR)ruletodifferentiatebetweenmutuallyexclusiveprojectswheneithertheprojects'scaleorcashflowtiming,respectively,is:ScaleoftheCashflowSelectexactly1answer(s)fromtheCorrectansweris“DiscountedCashFlowApplications,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.219-221StudySession2-6-calculateandinterpretthenetpresentvalue(NPV)andtheinternalrateofreturn(IRR)ofaninvestment,contrasttheNPVruletotheIRRrule,andidentifyproblemsassociatedwiththeIRRruleTheIRRruleshouldnotbeusedtodifferentiatebetweenmutuallyexclusiveprojectsifthescaleoftheprojectsdiffersorifthetimingoftheprojects’cashflowsdiffers.22、 ystgatheredthefollowinginformationaboutacommonstockStockpurchase15JanuaryStockpurchase15JanuaryStocksale15JanuaryThestockdoesnotpayadividend.Themoney-weightedandtime-weightedratesofreturnontheinvestmentareclosestMoney-rateofTime-rateofSelectexactly1answer(s)fromtheCorrectansweris“DiscountedCashFlowApplications,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.222-225StudySession2-6-calculate,interpret,anddistinguishbetweenthemoney-weightedandtime-weightedratesofreturnofaportfolioandappraisetheperformanceofportfoliosbasedonthesemeasuresThemoney-weightedrateofreturnistheIRRbasedonthecashflowsrelatedtotheinvestment.Inthiscase,acashoutflow€86occursatt=0,anotheroutflowof€94occursatt=1,andaninflowof€212occursatt=2.Usingafinancialcalculator,theIRRofthesecashflowsis11.60%.Thetime-weightedrateofreturnisthegeometricmeanoftheannualratesofreturninthestockirrespectiveoftheamountsinvestedinthevarioustimeperiods.Therateofreturnfortheperiodis(94-86)/86=9.3023%andforthesecondperiodis(106-94)/94=12.7660%.Thegeometricmeanis(1.093023x1.127660)0.5-1=11.02%.23、Anystgatheredtheprice-earningsratios(P/E)forthefirmsintheS&P500andthenrankedthefirmsfromhighesttolowestP/E.Shethenassignedthenumber1tothegroupwiththelowestP/Eratios,thenumber2tothegroupwiththesecondlowestP/Eratios,andsoon.Themeasurementscaleusedbytheystisbestdescribedas:Selectexactly1answer(s)fromtheCorrectansweris“StatisticalConceptsandMarketReturns,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.242-243StudySession2-7-differentiatebetweendescriptivestatisticsandinferentialstatistics,betweenapopulationandasample,andamongthetypesofmeasurementscales ystisusinganordinalscalewhichinvolvessortingdataintocategoriesbasedonsomecharacteristic,suchasthefirms’P/Eratios.24、UsingChebyshev'sinequality,whatistheminimumproportionofobservationsfromapopulationof500thatmustliewithintwostandarddeviationsofthemean,regardlessofthesh ofthedistribution?Selectexactly1answer(s)fromtheCorrectansweris“StatisticalConceptsandMarketReturns,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.289-291StudySession2-7-calculateandinterprettheproportionofobservationsfallingwithinaspecifiednumberofstandarddeviationsofthemean,usingChebyshev’sinequalityChebyshev’sinequalityholdsforanydistribution,regardlessofsh ,andstatesthattheminimumproportionofobservationslocatedwithinkstandarddeviationsofthemeanisequalto1-1/k2.Inthiscase,k=2and1-1/4=0.75or75%.25、Ifadistributionexhibitspositiveskewness,thenthemeanmostlikelyislocatedtoSelectexactly1answer(s)fromtheleftofboththemedianandrightofboththemedianandleftofthemedianandrightoftherightofthemedianandleftofthemode.25CorrectanswerisB“StatisticalConceptsandMarketReturns,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.297-302StudySession2-7-defineandinterpretskewness,explainthemeaningofapositivelyornegativelyskewedreturndistribution,anddescribetherelativelocationsofthemean,median,andmodeforanonsymmetricaldistributionApositivelyskeweddistributionhasalongtailtotherightwithalargefrequencyofobservationsoccurringintheleftpartof distribution.Foradistributionofreturns,thismeansfrequentsmalllossesandafewextremegains.Theresultisthatthe gainspullthemeantotherightwhilethemoderesidesontheleftwiththebulkoftheobservations.Themedianfallsbetweenthemeanandthemode.26、Themanagerofnsionfunddeterminedthatduringthepastfiveyears85%ofthestocksintheportfoliohavepaidadividendand40%ofthestockshaveannouncedastocksplit.If95%ofthestockshavepaidadividendand/orannouncedastocksplit,thejointprobabilityofastockpayingadividendandannouncingastocksplitisclosestto:Selectexactly1answer(s)fromthe26Correctansweris“ProbabilityConcepts,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.325-326StudySession2-8-calculateandinterpret1)thejointprobabilityoftwoevents,2)theprobabilitythatatleastoneoftwoeventswilloccur,giventheprobabilityofeachandthejointprobabilityofthetwoevents,and3)ajointprobabilityofanynumberofindependentTheprobabilitythatatleastoneoftwoeventswilloccuristhesumoftheprobabilitiesoftheseparateeventslessthejointprobabilityofthetwoevents.P(AB)=P(A)+P(B)-95%=85%+40%-P(AB);thereforeP(AB)=27、Whichofthefollowingstatementsaboutanormaldistributionisleastaccurate?AnormalSelectexactly1answer(s)fromthehasaskewnessofhasanexcesskurtosisofis ydescribedbytwocanbethelinearcombinationoftwoormorenormalrandomvariables.27CorrectanswerisB“CommonProbabilityDistributions,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.389-390StudySession2-9-explainthekeypropertiesofthenormaldistribution,distinguishbetweenaunivariateandamultivariatedistribution,andexplaintheroleofcorrelationinthemultivariatenormaldistributionAnormaldistributionhasakurtosisof3.Itsexcesskurtosis(kurtosis-3.0)equals28、AportfoliomanagergatheredthefollowinginformationaboutfourpossibleassetExpectedannualStandarddeviationABCDThemanager'sclienthasstatedthatherminimumacceptablereturnis8%.BasedonRoy'ssafety-criterion,theappropriateallocationSelectexactly1answer(s)fromtheCorrectansweris“CommonProbabilityDistributions,”RichardA.Defusco,DennisW.McLeavey,JeraldE.Pinto,andDavidE.Runkel2008ModularLevelI,Vol.1,pp.397-399StudySession2-9-defineshortfallrisk,calculatethesafety-ratio