Financial Asset correct answers A claim (rather than physical possession of a tangible asset) usually documented by legal instrument.
Financial Risk correct answers Occurs when a firm uses too much financial leverage (high debt to asset ratio) and risks bankruptcy.
Liquidity correct answers T...
FINC 3357 Final || with 100% Correct Answers.
Financial Asset correct answers A claim (rather than physical possession of a tangible asset)
usually documented by legal instrument.
Financial Risk correct answers Occurs when a firm uses too much financial leverage (high debt
to asset ratio) and risks bankruptcy.
Liquidity correct answers The capacity of an investment to be retired for cash in a short period.
financial liquidity correct answers measured by how fast an asset can be converted into cash
financial risk correct answers uncertainty about future outcomes that involve financial losses and
gains
Holding Period Return correct answers (ending value-beginning value) / beginning value
Value Weighted Index correct answers Biased by Size
Price Weighted Index correct answers Biased by Price
Unweighted Index correct answers Less Biased, but affected by volelility
Cash Accounts correct answers Customer pays in full for any securities purchased
Margin Accounts correct answers Allows customer to borrow money for investing, requires the
minimum amount of cash or marginable securities a customer must deposit to buy securities
Long Purchase correct answers a transaction in which investors buy securities in the hope that
they will increase in value and can be sold at a later date for profit
Short Sale correct answers the sale of shares not owned by the investor but borrowed through a
broker and later purchased to replace the loan
Closed End Funds correct answers Fixed number of shares that trade on stock exchanges,
making them similar to buying or selling a stock.
Open End Funds correct answers A fund that stands ready at all times to sell or redeem shared
from stockholders. No limit.
ETF (exchange traded fund) correct answers like a mutual fund but trades throughout the day
like a stock
UIT (Unit Investment Trust) correct answers Investment company company set us as trust, with
trustees instead of BOD.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller FullyFocus. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.49. You're not tied to anything after your purchase.
