Questions from General Investment


Q: For each of the investments shown in the following table, calculate

For each of the investments shown in the following table, calculate the rate of return earned over the period.

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Q: Briefly describe the key features and differences among the following deposit accounts

Briefly describe the key features and differences among the following deposit accounts. a. Passbook savings account b. NOW account c. Money market deposit account d. Asset management account

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Q: Define, compare, and contrast the following short-term investments

Define, compare, and contrast the following short-term investments. a. I bonds b. U.S. Treasury bills c. Certificates of deposit d. Commercial paper e. Banker’s acceptances f. Money market mutual fund...

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Q: Why is an understanding of investment principles important to a senior manager

Why is an understanding of investment principles important to a senior manager working in corporate finance?

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Q: Why do insurance companies need employees with advanced training in investments?

Why do insurance companies need employees with advanced training in investments?

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Q: Differentiate between each of the following pairs of terms. a

Differentiate between each of the following pairs of terms. a. Money market and capital market b. Primary market and secondary market c. Broker market and dealer market

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Q: How are after-hours trades typically handled? What is the

How are after-hours trades typically handled? What is the outlook for after-hours trading?

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Q: Briefly describe the key requirements of the following federal securities laws:

Briefly describe the key requirements of the following federal securities laws: a. Securities Act of 1933 b. Investment Company Act of 1940 c. Investment Advisors Act of 1940 d. Insider Trading and Fr...

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Q: What is a long purchase? What expectation underlies such a purchase

What is a long purchase? What expectation underlies such a purchase? What is margin trading, and what is the key reason why investors sometimes use it as part of a long purchase?

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Q: How does margin trading magnify profits and losses? What are the

How does margin trading magnify profits and losses? What are the key advantages and disadvantages of margin trading?

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