WorksheetsStock & Bond Test 1
Total questions: 20
Worksheet time: 10mins
Top-down approach to Security Analysis includes all of the following except:
Economic analysis
Technical Analysis
Functional Analysis
Fundamental Analysis
Which analysis method is primarily concerned with historical price patterns and trends?
GDP can be measured two ways, one method is the income approach and the other is
Ture/False
Because all firms in an industry do not move together there is little value in industry analysis.
True
False
How does inflation affect the stock market?
Economic indicators during a recession/ contraction include which of the following?
Product lifecycle includes:
Which industry stage is characterized by a reduction of the growth rate in the economy usually less than the rate of the overall economy.
A resistance level is the price range at which the technician would expect an increase in the demand of
stock and a price reversal
True
False
Which of the following is an underlying assumption of the constant growth dividend discount model
(DDM)?
The constant growth rate of dividends will continue for an infinite time period
Dividends have a constant growth rate
The required rate of return is greater than the expected growth rate
All of the above
One ratio used to calculate a company's liquidity is:
Return on Assets (ROA): measures management’s efficiency at using assets to generate _______
One market/ stock ratio used by investors include:
True / False
Increase in competitors in the industry, increases the rivalry and decreases prices of a product or service
False
Cyclical industries are attractive investments during the early stages of an economic recovery.
True or false
A resistance level is the price range at which the technician would expect an increase in the demand of stock and a price reversal.
true or false
true
Market breadth measures
Breadth measures the extent or broadness of a market trend.
If estimated value > Market price, you should buy.
True
False
True/False
Technical analysts believe the market value of common stocks is determined by the interaction of supply and demand.
To a technician who values volume in their analysis, a bearish signal typically occurs when:
Price Decreases with High Volume
Prices increases with higher volume
there is no change in the market
Prices decrease on light volume.
