If a corporate bond is non-refundable, the issuer:
A. Must leave the bonds outstanding until their scheduled maturity.
B. May call the bonds and issue common equity in their place.
C. May issue zero coupon bonds and use the proceeds to call the bonds.
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A company is most likely faced with a drag on liquidity if its:
A. Weighted average collection period increases from 42 days to 46 days.
B. Largest vendor changes its invoice terms from "3/10 net 30" to "3/10 net 60."
C. Inventory turnover was below the industry average last year and is above the industry average this year.
Supplying capital to companies that are just moving into operation, but do not as yet have a product or service available to sell, is a description that best relates to which of the following stages o
A. Early stage.
B. Mezzanine stage.
C. Angel investing stage.
A researcher needs to choose a probability distribution for the price of an asset that is quite volatile in order to simulate returns outcomes. She has a program that will generate random variables fr
A. Normal distribution.
B. Lognormal distribution.
C. Students t-distribution.
Which of the following statements about common probability distributions is least accurate?
A probability distribution specifies the probabilities of the possible outcomes of a random variable.
B. In a binomial probability distribution,each observation has only two possible outcomes that are mutually exclusive.
C. A normal distribution is a discrete symmetric probability distribution that is completely described by two parameters:its mean and variance.