The best stock to own when the stock market is at a peak and is expected to decline in value is one with a beta of
A) +1.5.
B) +1.0.
C) -1.0.
D) -0.5.
Answer: C
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Which of the following is true regarding the provisions of IAS 39?
a. IAS 39 does not require unrealized gains and losses on trading securities to be recognized as part of net income. b. IAS 39 requires gains and losses on available for sale securities to be recognized as part of net income. c. IAS 39 allows companies to choose between recognizing gains and losses on available-for-sale securities as part of net income or as part of stockholders' equity. d. IAS 39 allows companies to choose between recognizing gains and losses on trading securities as part of net income or as part of stockholders' equity.
U.S. GAAP explicitly defines _____ of an asset as "the price that would be received to sell an asset [or paid to transfer a liability] in an orderly transaction between market participants at the measurement date.". Thus, U.S. GAAP defines it as an exit value, namely, the amount the firm would receive if it sold an asset in an orderly, arm's-length transaction at the measurement date
a. Current Replacement Cost b. Net Realizable Value c. Fair Value d. Present Value of Future Net Cash Flows e. Acquisition cost
The measurement of cash is the present value of future cash flows of the instruments included in this category
Indicate whether the statement is true or false
Which of the following represents the amount of equity that a company generates through the sale of stock to investors?
a. Long–term liability b. Contributed capital c. Intangible assets d. Retained earnings