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NEW QUESTION: 1
Which of the following would not be a characteristic associated with stocks in which a growth fund might invest?
A. high cash dividends
B. high price-earnings (P/E) ratio
C. high earnings growth
D. beta > 1.0
Answer: A
Explanation:
Explanation/Reference:
Explanation: The choice that would not be a characteristic of stocks in which a growth fund might invest is high cash dividends. Growth stocks offer returns in the form of capital appreciation (aka price increases.) In order to achieve this growth, the firms reinvest their earnings in their firms rather than distributing the earnings as dividends. Growth firms are those that are experiencing high earnings growth, and as a result, investors who are expecting great things from these firms are paying even higher prices, resulting in high P/E ratios. Growth firms are usually riskier than the average stock and have a beta greater than 1.0 to reflect this.
NEW QUESTION: 2
A commonly used interface protocol for linking LANs is:
A. CSU/DSU.
B. VAN.
C. SN
D. TCP/IP.
Answer: D
NEW QUESTION: 3
When creating a new Data Export to an Eloqua-hosted URL, which two settings are configurable?
A. Port Number
B. File Name
C. Row Delimiter
D. File Size
Answer: B,C
NEW QUESTION: 4
You are examining a portfolio composed of 33% money-market investments, 9.5% bonds, and 57.5% stocks. Last year, the return on the money-market investments was 4%; the return on bonds was 9%, and the return on stocks was -11%. What is the contribution of stocks toward the portfolio weighted average return?
A. -11.00%.
B. -57.50%.
C. -6.325%.
Answer: C
Explanation:
The portfolio weighted-average mean return is equal to the sum (as i goes from 1 to n) of w_i
* X_i, where w_i is the percentage weight in the portfolio of the ith asset, and X_i is the investment return of the ith asset. The contribution of any asset will equal its weight in the portfolio times its return. Here, we get 0.575 * - 0.11 = -6.325%.
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ACP-610 Exam Info
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ACP-610 Exam Topics
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