Arizona State University - FIN 421 / FIN421 Practice Midterm, Final EXAM Questions & Answers with some extras.

Shares outstanding (St), stock prices (Pt), and Dividends (Dt+1) for assets A and B are given below. All dividends are paid out at the end of the year, 12/31/2017. Asset B performed a 1:2 inverse stock split at the beginning of the year, 01/01/2017, where two old shares were combined into one new...

Lecture 1: Financial Markets FIN 421 – Fall 2020 Professor Michael Barnett Outline 1 The finance industry 2 Types and characteristics of financial assets 3 Trading basics 2 / 30The Financial System 3 / 30Basic Functions of the Financial System Financial assets contribute indirectly to the...

Lecture 6 Practice Questions 1. The variance of a portfolio of risky securities is . A) the sum of the securities’ covariances with the portfolio B) the sum of the securities’ variances C) the weighted sum of the securities’ covariances with the porfolio D) the weighted sum of the securit...

Consider the following limit order book of a specialist in a market that allows partial execution of orders. The last trade in the stock took place at a price of $35. Bid Bid Qty Ask Qty Ask 34.75 100 800 35.25 34.25 100 1,000 35.50 33.50 400 2,000 35.75 32.25 200 800 36.00 You place a market...