I once spoke to someone who had completed the CFA and he recommended to study via the question bank and learn the material via the questions and not necessarily reading the materials that much.
1. A company has a complex capital structure. It had 100,000 common shares on its balance sheet at the start of 2013. It had 10,000 warrants to be exercised at $15 and each warrant can be exercised into 2 common shares. The average stock price of the company was $10 during the year. The stock price at the end of year was $20. The company’s earnings for the year are $2,000,000. It also had 50,000 non-convertible preferred shares with a par value of $100. The preferred dividend is 8% per annum. The marginal tax rate is 40%. What is the diluted EPS of the company? Continue reading
How many hours did you spend on studying for the June level I exam? Or, if you are just now preparing for the Level 1 December exam - how many hours do you plan on studying for Level I exam? Thanks! Continue reading
I am not able to get the OA.
Let X = Random variable denotes the change in the value of stock of Microsoft.
Let Y = Random variable denotes the change in the value of stock of IBM.
Given, E(X) = 0.10; E(Y) = 0.12; Var (X+Y) = 14.64
Find Sharpe Ratio of Z = X+Y, if risk-free return = 1.5%.
Here’s what I did:
Sharpe Ratio = (E(X) + E(Y) - Rf)/ Sqrt (Var (X+Y)) = (0.22 - 0.015)/Sqrt(14.64) = 0.05357. Continue reading
In a previous post I described how I have been grossly front loading my allocated study time just based on my career and am now around 170 Hours. I recently took a Schweser Mock Exam from 2011 and scored a 77%. Obviously December is still a long time from July 11th – Are the Schweser Mock’s that much easier than the real exam? Continue reading
I am quite sure that I did not do anything illegal during the exam. Eventhough I did not receive any PCP mailer till now, this is making me shit worried.
I have verified my mail again and again from the CFA website and I do get occasional marketing mails from the CFA institute. I do not understand why I am not receiving this one.
Can someone please tell me what is the exact title of the mail you guys received.
PS: I use yahoo mail. Continue reading