2014SpringMidtermG
C.U.H.K. ECON1420B/UGEC1560QB Basic Banking and Finance (Spring 2014 Midterm Test)
NAME: ____________________________________(______________________) Student I.D.: s_________________
Part I: M.C. – Select the best answer and write the letter into corresponding box for each question. (@ 2 points)
1
2
3
4
5
6
7
8
9
10
11
12
B
D
D
A
B
B
C
C
D
A
B
C
13
14
15
16
17
18
19
20
21
22
23
24
25
D
D
D
D
D
D
D
B
D
D
B
B
A
1. Financial markets can channel savings to ___.
A) income
B) investments
C.U.H.K. ECON1420B/UGEC1560QB Basic Banking and Finance (Spring 2014 Midterm Test)
16. The current yield is the ___ divided by the price.
A) yield
B) face value
C) annual dividend
D) annual payment
Social responsibility of a company involves ___.
A) employer
B) employees
C) customers
D) all of the above
18. ___ of money can facilitate transaction in small quantities.
A) Liquidity
B) Durability
C) Accountability
D) Divisibility
The security market line (SML) is simply a plot of expected returns of investments with respect to its beta, the ___ of the investment to the market portfolio.
A) covariance
B) risk
C) correlation
D) sensitivity
20. ___ analysis compares companies across the industry or with companies in other industries.
A) Longitudinal
B) Cross-sectional C) Technical
D) Return
C) intercept
D) information
2. Financial markets can improve economic efficiency through the ___ discovery.
A) bank
B) money
C) welfare
D) price
3. Exchange Fund Bills and Notes are Hong Kong dollar ___ issued by Hong Kong Monetary Authority.
A) papers
B) votes
C) shares
D) debt securities
4. Hong Kong has launched an ___-linked retail bond (iBond) which is basically ___–free.
A) Inflation, tax
B) Interest, tax
C) Inflation, risk
D) Interest, risk
5. In financial markets, funds are transferred from people who have a surplus of available funds to people who have a(n) ___ of available funds are called.
A) lot
B) shortage
C) surplus
D)
NAME: ____________________________________(______________________) Student I.D.: s_________________
Part I: M.C. – Select the best answer and write the letter into corresponding box for each question. (@ 2 points)
1
2
3
4
5
6
7
8
9
10
11
12
B
D
D
A
B
B
C
C
D
A
B
C
13
14
15
16
17
18
19
20
21
22
23
24
25
D
D
D
D
D
D
D
B
D
D
B
B
A
1. Financial markets can channel savings to ___.
A) income
B) investments
C.U.H.K. ECON1420B/UGEC1560QB Basic Banking and Finance (Spring 2014 Midterm Test)
16. The current yield is the ___ divided by the price.
A) yield
B) face value
C) annual dividend
D) annual payment
Social responsibility of a company involves ___.
A) employer
B) employees
C) customers
D) all of the above
18. ___ of money can facilitate transaction in small quantities.
A) Liquidity
B) Durability
C) Accountability
D) Divisibility
The security market line (SML) is simply a plot of expected returns of investments with respect to its beta, the ___ of the investment to the market portfolio.
A) covariance
B) risk
C) correlation
D) sensitivity
20. ___ analysis compares companies across the industry or with companies in other industries.
A) Longitudinal
B) Cross-sectional C) Technical
D) Return
C) intercept
D) information
2. Financial markets can improve economic efficiency through the ___ discovery.
A) bank
B) money
C) welfare
D) price
3. Exchange Fund Bills and Notes are Hong Kong dollar ___ issued by Hong Kong Monetary Authority.
A) papers
B) votes
C) shares
D) debt securities
4. Hong Kong has launched an ___-linked retail bond (iBond) which is basically ___–free.
A) Inflation, tax
B) Interest, tax
C) Inflation, risk
D) Interest, risk
5. In financial markets, funds are transferred from people who have a surplus of available funds to people who have a(n) ___ of available funds are called.
A) lot
B) shortage
C) surplus
D)