The holding period return (HPR) of one's portfolio should be compared to investment goals
I. to determine whether the rate of return is commensurate with the risk involved.
II. to be sure one's portfolio is outperforming the S&P 500 Index.
III. to isolate any problem investments.
IV. to determine when to change benchmarks from the S&P 500 to the NASDAQ Composite Index.
A) I and III only
B) II and IV only
C) I, II and III only
D) II, III and IV only
Answer: A
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a. True b. False Indicate whether the statement is true or false
When a company wishes to purchase and retire its own stock, the company must
a. decrease the stock account balances by the original issue price. b. record a gain or loss depending on the difference between original selling price and repurchase cost. c. get the approval of the state to do so. d. issue a different class of stock to the former stockholders.
________ is the tendency to interpret information in a way that will fit our preconceptions
A) Selective retention B) Cognitive dissonance C) Selective distortion D) Subliminal perception E) Selective embellishment
Which of the following individuals or couples qualify for the child- and dependent-care credit? I.Lois is single and earns $45,000 for the year. She pays $2,600 in child-care costs for her 8-year-old daughter.II.Patrick and Carol are married and together they earn $67,000 ($42,000 and $25,000, respectively). They pay $5,000 in child-care costs for their twin boys, age 11.?
A. Only statement I is correct. B. Only statement II is correct. C. Both statements are correct. D. Neither statement is correct.