金融学试题

国际商学院2009-2010学年度第二学期《金融学》期末考试试卷(A)

《中山大学授予学士学位工作细则》第六条：“考试作弊不授予学士学位。”

姓名 学号 专业 成绩

Single Choice Questions (2 points per question, 10 point maximum)

1. For $1,000 you can purchase a 5-year ordinary annuity which will pay you a yearly payment

of $263.80 for 5 years. What is the annual interest rate implicit in this investment to the nearest whole percentage point?

A: 8%; B: 9%; C: 10%; D: 11%

2. You are going to place $12,500 into a certificate of deposit (CD) at a 6% annual rate

(compounded annually) with a maturity of 30 months. How much money will you receive when the CD matures?

A: $14,460; B: $14,491; C: $14,518; D: $14,532

3. Which of the following sources is an internal financing source?

A: account receivable;

B: deferred tax; C: debt financing;

D: equity financing

4. The firm of Sun and Moon purchased a share of common stock exactly one year

ago for $45. During the past year the common stock paid an annual dividend of $2.40. The firm sold the security today for $85. What is the rate of return the firm has earned?

A: 5.3%; B: 194.2%; C: 88.9%; D: 94.2%. 5. Which of the following incentive problems can be alleviated by giving stock options to

managers?

A: adverse selection; B: moral hazard; C: principal-agent problem;

D: free cash flow problem

True or False Questions (1 point per question, 8 points maximum)

1. The absolute level of the equilibrium expected rate of return on the market portfolio can be

explained by CAPM.

2. If a fund consistently “beat ”

the market, the alpha of the fund is positive.

3.Nondiversifiable risk is also called market risk.

4.The ultimate function of financial system is to satisfy people’s consumption preferences.

5.The greater the degree of risk aversion of the population, the lower will be the risk-free rate of

interest.

6.Indexing is an active investment strategy.

7. A savings account at Bank A pays 6.2 percent interest, compounded annually. Bank B's

savings account pays 6 percent compounded semiannually. Bank B is paying less total interest each year.

8.In a negative (downward-sloping) yield curve, the yield on a three-year bond is less than the

yield on a two-year bond with otherwise identical conditions.

Calculation questions (注意：本部分题目分为两组，其中第一组题目每题12分，第二组题目每题6分。要求从第一组中选5题，第二组中选2题应答。如果多答，则第一组取得较高分的5题和第二组中取得较高分的2题的得分将作为本部分的得分计入总成绩，即本部分的最高分为72分，多答不扣分)

Group I:

1.The Sami Company is currently an all-equity financed (with no debt) firm with an expected

EBIT of $1.5 million every year forever. Sami’s cost of capital is 12%, and the corporate tax rate is 35%. There are 1 million shares of Sami common stock outstanding.

A: what is the price per share of Sami?

B: if Sami decides to issue $3 million of default-free perpetuity bonds with a 8% coupon rate per year, and uses the proceeds to repurchase $3 million worth of its stock, what will be the impact on Sami’s price per share?

2.The riskless rate is 6%. Assume that the optimal combination of two risky assets produces a

portfolio with an expected return of 12% and a standard deviation of 10%. The optimal risky portfolio consists of 40% investment in risky asset 1 and 60% investment in risky asset 2.

A: What is the reward-to-risk ratio of the efficient trade-off line?

B: Suppose that you have $10,000 to invest and wish to tolerate 1.5 times of the risk present in the optimal risky portfolio. What expected rate of return do you achieve?

C: How much you divide your investment among the risk-free asset, risky asset 1, and risky