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P3 PDF DEMO:QUESTION NO: 1 The interest rate on EUR deposits is 7%. The interest rate on GBP deposits is 5%. The spot rate is EUR/GBP0.8500. What is the one year forward rate predicted to be assuming interest rate parity holds true? A. 0.8662 B. 0.9633 C. 0.8341 D. 0.7500 Answer: C
QUESTION NO: 2 An oil company has entered into a joint venture with a competing oil company to develop a new oil field. The joint venture arrangement is intended to mitigate the risks associated with developing the oil field. The following disclosure appears in the oil company's risk report: "Many of our large projects and operations are conducted through joint ventures. These arrangements involve complex risk allocation and indemnification arrangements and we have less control over these activities than we would have if we had full ownership and control. Our partners may have economic or business interests that are opposed to ours, and may exercise the right to block key decisions or actions. We believe the joint arrangement is in our best interest." Which of the following statements are correct? A. Now the shareholders know the directors are aware of the risk. B. The risk report says nothing useful about the risk. C. If the risk report had not reported the risk the shareholders might not have been aware of the risk. D. The shareholders now have more useful information. E. The risk report means that the shareholders know exactly how bad the risk is. Answer: A,C,D
QUESTION NO: 3 In relation to the use of the adjusted present value (APV) technique, which of the following statements are correct? A. The weighted average cost of capital - net present value technique and the APV technique will, if applied correctly, give the same answer. B. To apply APV, the proportions of debt and equity in the capital structure must be known. C. The interest tax shield on the project's debt must be known, or at least estimated. D. To apply APV the actual amounts of debt and equity in the capital structure must be known. Answer: A,C
QUESTION NO: 4 A UK based company is considering an investment of GB£1,000,000 in a project in the USA. It is anticipated that the following cash flows will arise from this project. The cash flows will be either US$400,000 with a probability of 40% or US$700,000 with a probability of 60% for each of the next three years; remitted to the UK at the end of each year. Currently GB£1.00 is worth US$1.30. The expected inflation rates in the two countries over the next four years are 2% in the UK and 4% in the US. Applying the Purchasing Power Parity Theory, which of the following represents the expected net present value of the project in GP£ (to the nearest whole pound)? A. GB£391,640 B. GB£554,047 C. GB£287,639 D. GB£(111,973) Answer: C
QUESTION NO: 5 Will owns $400,000 of shares in Company X. Company X has a daily volatility of 1% of its share price. Calculate the 28 day value at risk that shows the most Will can expect to lose during a 28 day period. (Will wishes to be 90% certain that the actual loss in any month will be less than your predicted figure). Give your answer to the nearest $000. Answer: $27
如果你想選擇通過 CIMA Oracle 1Z1-771 認證考試來使自己在如今競爭激烈的IT行業中地位更穩固,讓自己的IT職業能力變得更強大,你必須得具有很強的專業知識。 Palo Alto Networks PSE-SASE - Royalholidayclubbed的IT技術專家為了讓大家可以學到更加高效率的資料一直致力於各種IT認證考試的研究,從而開發出了更多的考試資料。 我們的Royalholidayclubbed不僅能給你一個好的考試準備,讓你順利通過CIMA SAP C_S4CPR_2502 認證考試,而且還會為你提供免費的一年更新服務。 Supermicro SDLCSA - 那麼,為了通過這個考試你是怎麼進行準備的呢?是死命地學習與考試相關的知識呢,還是使用了高效率的學習資料呢? 因此CIMA Databricks Associate-Developer-Apache-Spark-3.5 認證考試也是一項很受歡迎的IT認證考試。
Updated: May 27, 2022
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