current price of asset=100 out of the money put with an exercise price of 90 is purchase along with an asset if break even point for this hedge is at an asset price of 114 at expiration then the value of american put at the time of purchase must have been a. 0 b. 4 c. 10 d. 14 importance of asset allocation decision in investment proceess: a. helps investor decide on realistic investment goals b. identify specific securities to include in the portifolio c. determines most of portfolios return and volatility over time d. creats standard by which to establish an appropriate investment time horizon A T bill with 120 maturity has an asked price of 4.02. what is the bond equivalent yield? a. 4.02 b. 4.36 c. 4.13 d. 4.47
d c ?
thats what i got too, d,c, ?
first one is wrong try again. the second one i don’t have an answer. I printed these questions are from the schweser web site i printed them last august but I did not manage to print the answers. i did not buy schweser this time so i can not access the site but If the questions are still the same and if some one with access to schweser can check it will help. the site was http://www.schweser.com/online_program/test_engine/printable_ display.php?test_id=226…
I think the first one is D.
the first one is right, the exact same question is in a sample CFA exam posted through this forum and the answer was 14 maybe schweser had it wrong? or this sample exam is wrong?
I got is from CFA sample questions it said B but not explanation. Amber If you are sure its not B please show the method
number 2 the answer is c you are rights guys. But 1 & 2 seem complicated
d, c how the hell do you calculate no 3. I think something is missing in the question, price and answer choices look completely wrong.
I have never seen a question like #3 before, and I have done schweser practice exams and 5 AIMR samples! Would love to know how to calculate this
formula for BEY is as follows: BEY = [(1000 - Purchase Price) / Purchase Price] x [365 / days to maturity] Will the purchase price be 4.02 % of PAR in this case? Still do not get any close to any of the answers.
AudreyMwala Wrote: ------------------------------------------------------- > I got is from CFA sample questions it said B but > not explanation. Amber If you are sure its not B > please show the method IBreak even point is total position cost. If the asset purchase price is 100, it should be D. If the asset purchase price is 110, the answer is B. Missing part in the question again?
lol D C ???
importance of asset allocation decision in investment proceess: a. helps investor decide on realistic investment goals b. identify specific securities to include in the portifolio c. determines most of portfolios return and volatility over time d. creats standard by which to establish an appropriate investment time horizon I SAID C. I think it is 90% of rtn comes from AA