第3单元-金融考试题-西南财经大学天府学院

1Copyright©2012PearsonEducation,Inc.FinancialMarketsandInstitutions,7e(Mishkin)Chapter3WhatDoInterestRatesMeanandWhatIsTheirRoleinValuation?3.1MultipleChoice1)AloanthatrequirestheborrowertomakethesamepaymenteveryperioduntilthematuritydateiscalledaA)simpleloan.B)fixed-paymentloan.C)discountloan.D)same-paymentloan.E)noneoftheabove.Answer:B2)AcouponbondpaystheownerofthebondA)thesameamounteverymonthuntilthematuritydate.B)afixedinterestpaymenteveryperiod,plusthefacevalueofthebondatthematuritydate.C)thefacevalueofthebondplusaninterestpaymentoncethematuritydatehasbeenreached.D)thefacevalueatthematuritydate.E)noneoftheabove.Answer:B3)Abond'sfuturepaymentsarecalleditsA)cashflows.B)maturityvalues.C)discountedpresentvalues.D)yieldstomaturity.Answer:A4)AcreditmarketinstrumentthatpaystheownerthefacevalueofthesecurityatthematuritydateandnothingpriortotheniscalledaA)simpleloan.B)fixed-paymentloan.C)couponbond.D)discountbond.Answer:D2Copyright©2012PearsonEducation,Inc.5)(I)Asimpleloanrequirestheborrowertorepaytheprincipalatthematuritydatealongwithaninterestpayment.(II)Adiscountbondisboughtatapricebelowitsfacevalue,andthefacevalueisrepaidatthematuritydate.A)(I)istrue,(II)false.B)(I)isfalse,(II)true.C)Botharetrue.D)Botharefalse.Answer:C6)Whichofthefollowingaretrueofcouponbonds?A)Theownerofacouponbondreceivesafixedinterestpaymenteveryyearuntilthematuritydate,whenthefaceorparvalueisrepaid.B)U.S.Treasurybondsandnotesareexamplesofcouponbonds.C)Corporatebondsareexamplesofcouponbonds.D)Alloftheabove.E)OnlyAandBoftheabove.Answer:D7)Whichofthefollowingaregenerallytrueofallbonds?A)Thelongerabond'smaturity,theloweristherateofreturnthatoccursasaresultoftheincreaseintheinterestrate.B)Eventhoughabondhasasubstantialinitialinterestrate,itsreturncanturnouttobenegativeifinterestratesrise.C)Pricesandreturnsforlong-termbondsaremorevolatilethanthoseforshorter-termbonds.D)Alloftheabovearetrue.E)OnlyAandBoftheabovearetrue.Answer:D8)(I)Adiscountbondrequirestheborrowertorepaytheprincipalatthematuritydateplusaninterestpayment.(II)Acouponbondpaysthelenderafixedinterestpaymenteveryyearuntilthematuritydate,whenaspecifiedfinalamount(faceorparvalue)isrepaid.A)(I)istrue,(II)false.B)(I)isfalse,(II)true.C)Botharetrue.D)Botharefalse.Answer:B3Copyright©2012PearsonEducation,Inc.9)Ifa$5,000couponbondhasacouponrateof13percent,thenthecouponpaymenteveryyearisA)$650.B)$1,300.C)$130.D)$13.E)Noneoftheabove.Answer:A10)An$8,000couponbondwitha$400annualcouponpaymenthasacouponrateofA)5percent.B)8percent.C)10percent.D)40percent.Answer:A11)Theconceptof________isbasedonthenotionthatadollarpaidtoyouinthefutureislessvaluabletoyouthanadollartoday.A)presentvalueB)futurevalueC)interestD)deflationAnswer:A12)Dollarsreceivedinthefutureareworth________thandollarsreceivedtoday.Theprocessofcalculatingwhatdollarsreceivedinthefutureareworthtodayiscalled________.A)more;discountingB)less;discountingC)more;inflatingD)less;inflatingAnswer:B13)TheprocessofcalculatingwhatdollarsreceivedinthefutureareworthtodayiscalledA)calculatingtheyieldtomaturity.B)discountingthefuture.C)compoundingthefuture.D)compoundingthepresent.Answer:B4Copyright©2012PearsonEducation,Inc.14)Withaninterestrateof5percent,thepresentvalueof$100receivedoneyearfromnowisapproximatelyA)$100.B)$105.C)$95.D)$90.Answer:C15)Withaninterestrateof10percent,thepresentvalueofasecuritythatpays$1,100nextyearand$1,460fouryearsfromnowisapproximatelyA)$1,000.B)$2,000.C)$2,560.D)$3,000.Answer:B16)Withaninterestrateof8percent,thepresentvalueof$100receivedoneyearfromnowisapproximatelyA)$93.B)$96.C)$100.D)$108.Answer:A17)Withaninterestrateof6percent,thepresentvalueof$100receivedoneyearfromnowisapproximatelyA)$106.B)$100.C)$94.D)$92.Answer:C18)TheinterestratethatequatesthepresentvalueofthecashflowreceivedfromadebtinstrumentwithitsmarketpricetodayistheA)simpleinterestrate.B)discountrate.C)yieldtomaturity.D)realinterestrate.Answer:C5Copyright©2012PearsonEducation,Inc.19)TheinterestratethatfinancialeconomistsconsidertobethemostaccuratemeasureistheA)currentyield.B)yieldtomaturity.C)yieldonadiscountbasis.D)couponrate.Answer:B20)Financialeconomistsconsiderthe________tobethemostaccuratemeasureofinterestrates.A)simpleinterestrateB)discountrateC)yieldtomaturityD)realinterestrateAnswer:C21)Forasimpleloan,thesimpleinterestrateequalstheA)realinterestrate.B)nominalinterestrate.C)currentyield.D)yieldtomaturity.Answer:D22)Forsimpleloans,thesimpleinterestrateis________theyieldtomaturity.A)greaterthanB)lessthanC)equaltoD)notcomparabletoAnswer:C23)Theyieldtomaturityofaone-year,simpleloanof$500thatrequiresaninterestpaymentof$40isA)5percent.B)8percent.C)12percent.D)12.5percent.Answer:B24)Theyieldtomaturityofaone-year,simpleloanof$400thatrequiresaninterestpaymentof$50isA)5percent.B)8percent.C)12percent.D)12.5percent.Answer:D6Copyright©2012PearsonEducation,Inc.25)A$10,000,8percentcouponbondthatsellsfor$10,000hasayieldtomaturityofA)8percent.B)10percent.C)12percent.D)14percent.Answer:A26)Whichofthefollowing$1,000facevaluesecuritieshasthehighestyieldtomaturity?A)A5percen