金融市场与机构 (10)

金融市场与机构(10)Chapter101TheBondMarket1MultipleChoiceQuestions1.Comparedtomoneymarketsecurities,capitalmarketsecuritieshave(a)moreliquidity.(b)longermaturities.(c)loweryields.(d)lessrisk.Answer:B2.(I)Securitiesthathaveanoriginalmaturitygreaterthanoneyeararetradedincapitalmarkets.(II)Thebestknowncapitalmarketsecuritiesarestocksandbonds.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C3.(I)Securitiesthathaveanoriginalmaturitygreaterthanoneyeararetradedinmoneymarkets.(II)Thebestknownmoneymarketsecuritiesarestocksandbonds.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:D4.(I)Firmsandindividualsusethecapitalmarketsforlong-terminvestments.(II)Thecapitalmarketsprovideanalternativetoinvestmentinassetssuchasrealestateandgold.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C5.Theprimaryreasonthatindividualsandfirmschoosetoborrowlong-termistoreducetheriskthatinterestrateswill_________beforetheypayofftheirdebt.(a)rise(b)fall(c)becomemorevolatile(d)becomemorestableAnswer:A6.Afirmthatchoosestofinanceanewplantbyissuingmoneymarketsecurities(a)mustincurthecostofissuingnewsecuritiestorolloveritsdebt.(b)runstheriskofhavingtopayhigherinterestrateswhenitrollsoveritsdebt.(c)incursboththecostofreissuingsecuritiesandtheriskofhavingtopayhigherinterestratesonthenewdebt.(d)ismorelikelytoprofitifinterestratesrisewhiletheplantisbeingconstructed.Answer:C7.Theprimaryreasonthatindividualsandfirmschoosetoborrowlong-termisto(a)reducetheriskthatinterestrateswillfallbeforetheypayofftheirdebt.(b)reducetheriskthatinterestrateswillrisebeforetheypayofftheirdebt.(c)reducemonthlyinterestpayments,asinterestratestendtobehigheronshort-termthanlong-termdebtinstruments.(d)reducetotalinterestpaymentsoverthelifeofthedebt.Answer:B8.Afirmwillborrowlong-term(a)iftheextrainterestcostofborrowinglong-termislessthantheexpectedcostofrisinginterestratesbeforeitretiresitsdebt.(b)iftheextrainterestcostofborrowingshort-termduetorisinginterestratesdoesnotexceedtheexpectedpremiumthatispaidforborrowinglongterm.(c)ifshort-terminterestratesareexpectedtodeclineduringthetermofthedebt.(d)iflong-terminterestratesareexpectedtodeclineduringthetermofthedebt.Answer:A9.Theprimaryissuersofcapitalmarketsecuritiesinclude(a)thefederalandlocalgovernments.(b)thefederalandlocalgovernments,andcorporations.(c)thefederalandlocalgovernments,corporations,andfinancialinstitutions.(d)localgovernmentsandcorporations.Answer:B10.Governmentsneverissuestockbecause(a)theycannotsellownershipclaims.(b)theConstitutionexpresslyforbidsit.(c)both(a)and(b)oftheabove.(d)neither(a)nor(b)oftheabove.Answer:A11.(I)Theprimaryissuersofcapitalmarketsecuritiesarefederalandlocalgovernments,andcorporations.(II)Governmentsneverissuestockbecausetheycannotsellownershipclaims.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C12.(I)Theprimaryissuersofcapitalmarketsecuritiesarefinancialinstitutions.(II)Thelargestpurchasersofcapitalmarketsecuritiesarecorporations.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:D13.Thedistributionofafirm’scapitalbetweendebtandequityisits(a)leverageratio.(b)liabilitystructure(c)acidratio.(d)capitalstructure.Answer:D14.Thelargestpurchasersofcapitalmarketsecuritiesare(a)households.(b)corporations(c)governments.(d)centralbanks.Answer:A15.Individualsandhouseholdsfrequentlypurchasecapitalmarketsecuritiesthroughfinancialinstitutionssuchas(a)mutualfunds.(b)pensionfunds.(c)moneymarketmutualfunds.(d)alloftheabove.(e)only(a)and(b)oftheabove.Answer:E16.(I)Therearetwotypesofexchangesinthesecondarymarketforcapitalsecurities:organizedexchangesandover-the-counterexchanges.(II)Whenfirmssellsecuritiesfortheveryfirsttime,theissueisaninitialpublicoffering.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C17.(I)Capitalmarketsecuritiesfallintotwocategories:bondsandstocks.(II)Long-termbondsincludegovernmentbondsandlong-termnotes,municipalbonds,andcorporatebonds.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:B18.The_________valueofabondistheamountthattheissuermustpayatmaturity.(a)market(b)present(c)discounted(d)faceAnswer:D19.The_________rateistherateofinterestthattheissuermustpay.(a)market(b)coupon(c)discount(d)fundsAnswer:B20.(I)Thecouponrateistherateofinterestthattheissuerofthebondmustpay.(II)Thecouponrateisusuallyfixedforthedurationofthebondanddoesnotfluctuatewithmarketinterestrates.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C21.(I)Thecouponrateistherateofinterestthattheissuerofthebondmustpay.(II)Thecouponrateonoldbondsfluctuateswithmarketinterestratessotheywillremainattractivetoinvestors.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:A22.Treasurybondsaresubjectto_________riskbutarefreeof_________risk.(a)default;interest-rate(b)default;underwriting(c)interest-rate;default(d)interest-rate;underwritingAnswer:C23.ThepricesofTreasurynotes,bonds,andbillsarequoted(a)asapercentageofthecouponrate.(b)asapercentageofthepreviousday’sclosingvalue.(c)asapercentageof$100facevalue.(d)asamultipleoftheannualinterestpaid.Answer:C24.ThesecuritywiththelongestmaturityisaTreasury(a)note.(b)bond.(c)acceptance.(d)bill.Answer:B25.(I)Tosellanoldbondwheninterestrateshaverisen,theholderwillhavetodiscountthebonduntiltheyieldtothebuyeristhesameasthemarketrate.(II)Theriskthatthevalueofabondwillfallwhenmarketinterestratesriseiscalledinterest-raterisk.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C26.Tosellanoldbondwheninterestrateshave_________,theholderwillhaveto_________thepriceofthebonduntiltheyieldtothebuyeristhesameasthemarketrate.(a)risen;lower(b)risen;raise(c)fallen;lower(d)risen;inflateAnswer:A27.Mostofthetime,theinterestrateonTreasurynotesandbondsis_________thatonmoneymarketsecuritiesbecauseof_________risk.(a)above;interest-rate(b)above;default(c)below;interest-rate(d)below;defaultAnswer:A28.(I)Inmostyearstherateofreturnonshort-termTreasurybillsisbelowthatonthe20-yearTreasurybond.(II)InterestratesonTreasurybillsaremorevolatilethanratesonlong-termTreasurysecurities.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C29.(I)BecauseinterestratesonTreasurybillsaremorevolatilethanratesonlong-termsecurities,thereturnonshort-termTreasurysecuritiesisusuallyabovethatonlonger-termTreasurysecurities.(II)ATreasurySTRIPseparatestheperiodicinterestpaymentsfromthefinalprincipalrepayment.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:B30.WhichofthefollowingstatementsaboutTreasuryinflation-indexedbondsisnottrue(a)Theprincipalamountusedtocomputetheinterestpaymentvarieswiththeconsumerpriceindex.(b)Theinterestpaymentriseswheninflationoccurs.(c)Theinterestrateriseswheninflationoccurs.(d)Atmaturitythesecuritiespaythegreaterofface-valueorinflation-adjustedprincipal.Answer:C31.Theinterestratesongovernmentagencybondsare(a)almostidenticaltothoseavailableonTreasurysecuritiessinceitisunlikelythatthefederalgovernmentwouldpermititsagenciestodefaultontheirobligations.(b)significantlyhigherthanthoseavailableonTreasurysecuritiesduetotheirlowliquidity.(c)significantlylowerthanthoseavailableonTreasurysecuritiesbecauseagencyinterestpaymentsaretaxexempt.(d)significantlylowerthanthoseavailableonTreasurysecuritiesbecausetheinterest-rateriskonagencysecuritiesislowerthanthatonTreasurysecurities.Answer:B32.(I)Municipalbondsthatareissuedtopayforessentialpublicprojectsareexemptfromfederaltaxation.(II)Generalobligationbondsdonothavespecificassetspledgedassecurityoraspecificsourceofrevenueallocatedfortheirrepayment.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C33.(I)Mostcorporatebondshaveafacevalueof$1000,payinterestsemi-annually,andcanberedeemedanytimetheissuerwishes.(II)Registeredbondshavenowbeenlargelyreplacedbybearerbonds,whichdonothavecoupons.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:A34.Thebondcontractthatstatesthelender’srightsandprivilegesandtheborrower’sobligationsiscalledthe(a)bondsyndicate.(b)restrictivecovenant.(c)bondcovenant.(d)bondindenture.Answer:D35.Policiesthatlimitthediscretionofmanagersasawayofprotectingbondholders’interestsarecalled(a)restrictivecovenants.(b)debentures.(c)sinkingfunds.(d)bondindentures.Answer:A36.Typically,theinterestrateoncorporatebondswillbe_________themorerestrictionsareplacedonmanagementthroughrestrictivecovenants,because_________.(a)higher;corporateearningswillbelimitedbytherestrictions(b)higher;thebondswillbeconsideredsaferbybondholders(c)lower;thebondswillbeconsideredsaferbybuyers(d)lower;corporateearningswillbehigherwithmorerestrictionsinplaceAnswer:C37.Restrictivecovenantscan(a)limittheamountofdividendsthefirmcanpay.(b)limittheabilityofthefirmtoissueadditionaldebt.(c)restricttheabilityofthefirmtoenterintoamergeragreement.(d)doalloftheabove.(e)doonly(a)and(b)oftheabove.Answer:D38.(I)Restrictivecovenantsoftenlimittheamountofdividendsthatfirmscanpaythestockholders.(II)Mostcorporateindenturesincludeacallprovision,whichstatesthattheissuerhastherighttoforcetheholdertosellthebondback.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C39.Callprovisionswillbeexercisedwheninterestrates_________andbondvalues_________.(a)rise;rise(b)fall;rise(c)rise;fall(d)fall;fallAnswer:B40.Arequirementinthebondindenturethatthefirmpayoffaportionofthebondissueeachyeariscalled(a)asinkingfund.(b)acallprovision.(c)arestrictivecovenant.(d)ashelfregistration.Answer:A41.(I)Callablebondsmusthaveahigheryieldthancomparablenoncallablebonds.(II)Convertiblebondsareattractivetobondholdersandsellforahigherpricethancomparablenonconvertiblebonds.(a)(I)istrue,(II)false.(b)(I)isfalse,(II)true.(c)Botharetrue.(d)Botharefalse.Answer:C42.Long-termunsecuredbondsthatarebackedonlybythegeneralcreditworthinessoftheissuerarecalled(a)junkbonds.(b)callablebonds.(c)convertiblebonds.(d)debentures.Answer:D43.Asecuredbondisbackedby(a)thegeneralcreditworthinessoftheborrower.(b)aninsurancecompany’sfinancialguarantee.(c)theexpectedfutureearningsoftheborrower.(d)specificcollateral.Answer:D44.Financialguarantees(a)areinsurancepoliciestobackbondissues.(b)arepurchasedbyfinanciallyweakersecurityissuers.(c)lowertheriskofthebondscoveredbytheguarantee.(d)doalloftheabove.(e)doonly(a)and(b)oftheabove.Answer:D45.Corporatebondsarelessriskyiftheyare_________bondsandmunicipalbondsarelessriskyiftheyare_________bonds.(a)secured;revenue(b)secured;generalobligation(c)unsecured;revenue(d)unsecured;generalobligationAnswer:B46.Whichofthefollowingaretrueforthecurrentyield(a)Thecurrentyieldisdefinedastheyearlycouponpaymentdividedbythepriceofthesecurity.(b)Theformulaforthecurrentyieldisidenticaltotheformuladescribingtheyieldtomaturityforadiscountbond.(c)Thecurrentyieldisalwaysapoorapproximationfortheyieldtomaturity.(d)Alloftheabovearetrue.(e)Only(a)and(b)oftheabovearetrue.Answer:A47.Thenearerabond’spriceistoitsparvalueandthelongerthematurityofthebondthemoreclosely_________approximates_________(a)currentyield;yieldtomaturity.(b)currentyield;couponrate.(c)yieldtomaturity;currentyield.(d)yieldtomaturity;couponrate.Answer:A48.Whichofthefollowingaretrueforthecurrentyield(a)Thecurrentyieldisdefinedastheyearlycouponpaymentdividedbythepriceofthesecurity.(b)Thecurrentyieldandtheyieldtomaturityalwaysmovetogether.(c)Theformulaforthecurrentyieldisidenticaltotheformuladescribingtheyieldtomaturityforadiscountbond.(d)Alloftheabovearetrue.(e)Only(a)and(b)oftheabovearetrue.Answer:E49.Thecurrentyieldisalessaccurateapproximationoftheyieldtomaturitythe_________thetimetomaturityofthebondandthe_________thepriceisfrom/totheparvalue.(a)shorter;closer(b)shorter;farther(c)longer;closer(d)longer;fartherAnswer:B50.Thecurrentyieldona$6,000,10percentcouponbondsellingfor$5,000is(a)5percent.(b)10percent.(c)12percent.(d)15percent.Answer:C51.Thecurrentyieldona$5,000,8percentcouponbondsellingfor$4,000is(a)5percent.(b)8percent.(c)10percent.(d)20percent.(e)noneoftheabove.Answer:C52.Foraconsol,thecurrentyieldisan_________oftheyieldtomaturity.(a)underestimate(b)overestimate(c)approximatemeasure(d)exactmeasureAnswer:D53.Whichofthefollowingaretrueoftheyieldonadiscountbasisasameasureoftheinterestrate(a)Itusesthepercentagegainonthefacevalueofthesecurity,ratherthanthepercentagegainonthepurchasepriceofthesecurity.(b)Itputstheyieldontheannualbasisofa360-dayyear.(c)Itignoresthetimetomaturity.(d)Alloftheabovearetrue.(e)Only(a)and(b)oftheabovearetrue.Answer:E54.Theformulaforthemeasureoftheinterestratecalledtheyieldonadiscountbasisispeculiarbecause(a)itputstheyieldontheannualbasisofa360-dayyear.(b)itusesthepercentagegainonthepurchasepriceofthebill.(c)itignoresthetimetomaturity.(d)both(a)and(b)oftheabove.(e)both(a)and(c)oftheabove.Answer:A55.Theyieldonadiscountbasisofa180-day$1,000Treasurybillsellingfor$950is(a)10percent.(b)20percent.(c)25percent.(d)40percent.Answer:A56.Theyieldonadiscountbasisofa90-day$1,000Treasurybillsellingfor$950is(a)5percent.(b)10percent.(c)15percent.(d)20percent.(e)noneoftheabove.Answer:D57.Theyieldonadiscountbasisofa90-day$1,000Treasurybillsellingfor$900is(a)10percent.(b)20percent.(c)25percent.(d)40percent.Answer:D58.Theyieldonadiscountbasisofa180-day$1,000Treasurybillsellingfor$900is(a)10percent.(b)20percent.(c)25percent.(d)40percent.Answer:B59.Whenanoldbond’smarketvalueisaboveitsparvaluethebondissellingata_________.Thisoccursbecausetheoldbond’scouponrateis_________thecouponratesofnewbondswithsimilarrisk.(a)premium;below(b)premium;above(c)discount;below(d)discount;aboveAnswer:B2True/False1.Theprimaryissuersofcapitalmarketsecuritiesarelocalgovernmentsandcorporations.Answer:FALSE2.Capitalmarketsecurutiesarelessliquidandhavelongermaturitiesthanmoneymarketsecurities.Answer:TRUE3.Governmentsneverissuestockbecausetheycannotsellownershipclaims.Answer:TRUE4.Tosellanoldbondwhenrateshaverisen,theholderwillhavetodiscountthebonduntiltheyieldtothebuyeristhesameasthemarketrate.Answer:TRUE5.Mostofthetime,theinterestrateonTreasurynotesisbelowthatonmoneymarketsecuritiesbecauseoftheirlowdefaultrisk.Answer:FALSE6.Municipalbondsthatareissuedtopayforessentialpublicprojectsareexemptfromfederaltaxation.Answer:TRUE7.Mostmunicipalbondsarerevenuebondsratherthangeneralobligationbonds.Answer:FALSE8.Mostcorporatebondshaveafacevalueof$1000,aresoldatadiscount,andcanonlyberedeemedatthematuritydate.Answer:FALSE9.Registeredbondshavenowbeenlargelyreplacedbybearerbonds,whichdonothavecoupons.Answer:FALSE10.Asinkingfundisarequirementinthebondindenturethatthefirmpayoffaportionofthebondissueeachyear.Answer:TRUE11.Debenturesarelong-termunsecuredbondsthatarebackedonlybythegeneralcreditworthinessoftheissuer.Answer:TRUE12.Inaleveragedbuyout,afirmgreatlyincreasesitsdebtlevelbyissuingjunkbondstofinancethepurchaseofanotherfirm’sstock.Answer:TRUE13.Afinancialguaranteeensuresthatthelender(bondpurchaser)willbepaidbothprincipalandinterestintheeventtheissuerdefaults.Answer:TRUE14.Thecurrentyieldonabondisagoodapproximationofthebond’syieldtomaturitywhenthebondmaturesinfiveyearsorlessanditspricediffersfromitsparvaluebyalargeamount.Answer:FALSE3Essay1.WhatisthepurposeofthecapitalmarketHowdocpaitalmarketsecuritiesdifferfrommoneymarketsecuritiesintheirgeneralcharacteristics2.Whatisabondindenture3.Whatroledorestrictivecovenantsplayinbondmarkets4.Whatisthedifferencebetweenageneralobligationandarevenuebond5.WhatareTreasurySTRIPS6.WhatisaconvertiblebondHowdoestheconvertibilityfeatureaffectthebond’spriceandinterestrate7.Whatisabond’scurrentyieldHowdoescurrentyielddifferfromyieldtomaturityandwhatdetermineshowclosethetwovaluesare8.Distinguishbetweengeneralobligationandrevenuemunicipalbonds.9.WhatisacallablebondHowdoesthecallabilityfeatureaffectthebond’spriceandinterestrate.10.WhattypesofrisksshouldbondholdersbeawareofandhowdotheseaffectbondpricesandyieldsCTRL+A全选可调整字体属性及字体大小-CAL-FENGHAI.NetworkInformationTechnologyCompany.2020YEAR