FINA 3315 EXAM QUESTIONS AND
ANSWERS 100% PASS 2026/2027
Which of the following is NOT an investment as defined in the text?
A) a certificate of deposit issued by a bank
B) a new automobile
C) a United States Saving Bond
D) a mutual fund held in a retirement account - ANS B
Stocks are a(n) ________ investment representing ________ of a business.
A) direct; ownership
B) direct; debt
C) indirect; ownership
D) indirect; debt - ANS A
An exchange traded fund that invests in the stocks of large corporations is an example of
A) direct investment.
B) indirect investment.
C) derivative investment.
D) tangible investment. - ANS B
@2026 ALLRIGHTS RESERVED 1
, Typical hedge funds are characterized by
A) limited risk investment strategies.
B) low minimum investment requirements.
C) high minimum invested requirements.
D) their appeal to a large number of small investors. - ANS A
Debt represents funds loaned in exchange for
A) dividend income and the repayment of the loan principal.
B) dividend income and an ownership interest in the firm.
C) interest income and a partial ownership interest in the firm.
D) interest income and the repayment of the loan principal. - ANS D
The government is generally
A) not involved in the financial markets.
B) the owner of the financial market.
C) a supplier of funds to the financial market.
D) a demander of funds in the financial market. - ANS D
On a net basis, funds in the financial markets are generally supplied by
A) individuals.
B) both individuals and business firms.
C) business firms.
D) the government. - ANS A
A forum in which suppliers and demanders of funds make financial transactions is called a
financial
@2026 ALLRIGHTS RESERVED 2
ANSWERS 100% PASS 2026/2027
Which of the following is NOT an investment as defined in the text?
A) a certificate of deposit issued by a bank
B) a new automobile
C) a United States Saving Bond
D) a mutual fund held in a retirement account - ANS B
Stocks are a(n) ________ investment representing ________ of a business.
A) direct; ownership
B) direct; debt
C) indirect; ownership
D) indirect; debt - ANS A
An exchange traded fund that invests in the stocks of large corporations is an example of
A) direct investment.
B) indirect investment.
C) derivative investment.
D) tangible investment. - ANS B
@2026 ALLRIGHTS RESERVED 1
, Typical hedge funds are characterized by
A) limited risk investment strategies.
B) low minimum investment requirements.
C) high minimum invested requirements.
D) their appeal to a large number of small investors. - ANS A
Debt represents funds loaned in exchange for
A) dividend income and the repayment of the loan principal.
B) dividend income and an ownership interest in the firm.
C) interest income and a partial ownership interest in the firm.
D) interest income and the repayment of the loan principal. - ANS D
The government is generally
A) not involved in the financial markets.
B) the owner of the financial market.
C) a supplier of funds to the financial market.
D) a demander of funds in the financial market. - ANS D
On a net basis, funds in the financial markets are generally supplied by
A) individuals.
B) both individuals and business firms.
C) business firms.
D) the government. - ANS A
A forum in which suppliers and demanders of funds make financial transactions is called a
financial
@2026 ALLRIGHTS RESERVED 2
