Exam 3 Review

A _____ represents a loan from a lender, to a borrower?

If you earn $100,000 a year, and have monthly expenses of $6000, what is the minimum should put in an emergency fund?

A _____ is an investment that provides the greatest liquidity?

Jane owns 280 shares of ABC stock. Last year the company paid a dividend of $0.57 a share. What amount did she receive?

Jane is seeking interest income for two years. What type of mutual fund is most appropriate?

A government security with units of $100 with maturities of one year or less are called?

A rule of thumb is to limit consumer payments to no more than ____ % of your net (after-tax) income.

ABC issued bonds at $1000 face value paying 4.6% interest each year, how much would each semi-annual payment be?

Real Estate syndicates with one general partner who has unlimited liability and others with limited liability is?

All of the following are true about mutual funds except for:

ABC company announces each shareholder will receive two shares for every one share of stock. This is called?

A proxy is an absentee ballot that enables shareholders to vote without physically attending in person.

When a corporation sells stock to the general public for the first time it is called a primary market opportunity.

What type of stocks are focused on potential to earn above average profits?

ABC company earned $2.75 per share. If the stock is selling for $60, what is the firm's P-E ratio?

A $1000 bond is convertible to 25 shares of common stock. What is the minimum purchase price that the stock must obtain?

Real estate investments are classified as direct or indirect.

John buys stock in a mutual fund that invests in companies with a capitalization of less than $2billion. This is a

Most retirees do not need to worry about inflation.

Investment goals must be written, specific and measurable?