[May 13, 2022] CFA-Level-I Exam Brain Dumps – Study Notes and Theory [Q1257-Q1279]

NEW QUESTION 1257
The change in the supply of soybeans could be due to which of the following?
I). a decrease in the price of insecticide.
II). improved equipment for soybean harvesting.
III). highly favorable weather conditions.

NEW QUESTION 1258
As per Standard VI (A) of the Code and Standards, that deals with the disclosure of conflicts, a CFA
Institute member that is elected to serve as a Trustee of a large Pension fund, may do so, provided that:

NEW QUESTION 1259
The investment objectives of an investor should be expressed in terms of

NEW QUESTION 1260
Comparing with FIFO, LIFO results in (during periods of rising prices)

NEW QUESTION 1261
The last day that the buyer of the share will receive the dividend is:

NEW QUESTION 1262
When people pay less for something than it is worth to them, they receive what is called

NEW QUESTION 1263
Henry Giuliani, CFA charterholder, publishes a monthly investment newsletter. In an article on the energy sector he writes ‘The energy sector is headed for a downturn. You should believe this, I am a CFA charterholder, and that implies superior ability to predict the market’. Giuliani has most likely violated the
Standards for:

NEW QUESTION 1264
All of the following occurrences could cause demand-pull inflation except an

NEW QUESTION 1265
The coupon payments to a domestic investor from a foreign bond is represented as a _______ entry in the _______ account.

NEW QUESTION 1266
Equipment with a purchase price of $20,000 and a book value of $12,000 was sold for $10,000. The effect on the cash flow statement, prepared under the indirect method, would be:

NEW QUESTION 1267
An Indian software engineer works for a computer manufacturer in San Jose. He makes $60,000 a year and sends $10,000 to his family in India each year. The amount should be counted towards US GDP is:

NEW QUESTION 1268
John Berg, CFA, is the senior vice president in charge of the investment banking division of a large national brokerage firm. He is doing due diligence on a large company whose secondary offering of stock the brokerage firm is about to underwrite. Through his analysis of the audited financial statements of the company in the preliminary prospectus, which has already been distributed, Berg realizes that selling and general administrative expenses in the company’s major division have suddenly increased from 1% of sales to 9% of sales. He finds there is no explanation in the prospectus of this material change in the company’s operating expenses. Which is Berg’s best course of action?

NEW QUESTION 1269
Which of the following is/are true?
I). If P(A or B) = P(A) + P(B), then A and B are independent.
II). If P(A and B) = P(A) x P(B), then A and B are mutually exclusive.
III). If P(A and B) = P(A) + P(B), then P(A) = P(B) = 0.

NEW QUESTION 1270
Which of the following statements about venture capital investments is least accurate?

NEW QUESTION 1271
Consider the following information about a fund. The fund has been in existence for 3 years. Over this period it has achieved a mean monthly return of 3% with a sample standard deviation of monthly returns of 5%. It was expected to earn a 2.5% mean monthly return over the 3-year period.
You want to test a claim that the investment disciplines of the fund results in a standard deviation of monthly returns of less than 6%.
The test statistic for conducting this hypothesis test is:

NEW QUESTION 1272
Positive convexity means that:

NEW QUESTION 1273
In terms of Standards of Professional Conduct when dealing with the procedures for compliance per
Standard I(D): Misconduct, which of the following ways is NOT an effective method for member compliance? Members should encourage their employees to:

NEW QUESTION 1274
If a good is an inferior good, then its

NEW QUESTION 1275
If a security market index has a price return of 10% and income return of 2% for period 1, and a price return of 15% and income return of 3% for period 2, its total return for the 2 periods should be:

NEW QUESTION 1276
A firm can pursue a differentiation strategy on the basis of
I). its product.
II). method of delivery.
III). economies of scale.
IV). production process.
V. marketing approach.
VI). can charge a higher price while attempting to retain cost parity with its competitors.

NEW QUESTION 1277
According to CFA Institute’s Code of Ethics, members must practice and encourage others to practice in a professional and ethical manner that will:

NEW QUESTION 1278
What is the value after three years of $1,000 invested at a 6% annual rate, if interest is compounded monthly?

NEW QUESTION 1279
An estimator is efficient if: