GIT CS 7646 ML4T EXAM 1 (QUESTIONSBANK)
791 QUESTIONS WITH COMPLETE SOLUTIONS!!
, 1 of 719
Term
Question 271: Stock for JPM is: $200 on 2010-10-01 $400 on 2010-10-
02 $400 on 2010-10-03 $100 on 2010-10-04 $700 on 2010-10-05
Calculate the simple moving average for the stock on 2010-10-04
with a lookback window of 3 days. Also, assuming the price at 2010-
10-04 is a large enough excursion from the SMA, would you
consider this a buy or sell opportunity?
A) -2/3 buy
B) -2/3 sell
C) 1/3 sell
D) 1/3 buy
Give this one a try later!
Correct answer: D Correct answer: C
Correct answer: A Correct answer: B
Don't know?
2 of 719
Term
Question 90: The Fundamental Law of Portfolio management states
which of the following:
,A) Portfolio performance increases as skill increases
B) Portfolio performance increases as trading opportunities
increases
C) High portfolio performance can only be guaranteed through
diversification
D) Both (A) and (B)
Give this one a try later!
Correct answer: C Correct answer: B
Correct answer: A Correct answer: D
Don't know?
3 of 719
Term
Question 256: What is CDO-square?
A) A CDO with a leverage of 2
B) A CDO backed primarily by the tranches issued by other CDOs
C) A type of structured asset-backed security (ABS) based on
S&P500
D) A CDO that earns by shorting other CDOs
Give this one a try later!
, Correct answer: D Correct answer: A
Correct answer: C Correct answer: B
Don't know?
4 of 719
Term
Question 153: If a call option is far 'out of the money' the value of the
option will be:
A) Equal to the value of a put option with the same exercise price
B) Greater than the value of a put option with the same exercise
price
C) Less than the value of a put option with the same exercise price
D) None of the above is correct
Give this one a try later!
Correct answer: A Correct answer: C
Correct answer: D Correct answer: B
Don't know?
5 of 719
791 QUESTIONS WITH COMPLETE SOLUTIONS!!
, 1 of 719
Term
Question 271: Stock for JPM is: $200 on 2010-10-01 $400 on 2010-10-
02 $400 on 2010-10-03 $100 on 2010-10-04 $700 on 2010-10-05
Calculate the simple moving average for the stock on 2010-10-04
with a lookback window of 3 days. Also, assuming the price at 2010-
10-04 is a large enough excursion from the SMA, would you
consider this a buy or sell opportunity?
A) -2/3 buy
B) -2/3 sell
C) 1/3 sell
D) 1/3 buy
Give this one a try later!
Correct answer: D Correct answer: C
Correct answer: A Correct answer: B
Don't know?
2 of 719
Term
Question 90: The Fundamental Law of Portfolio management states
which of the following:
,A) Portfolio performance increases as skill increases
B) Portfolio performance increases as trading opportunities
increases
C) High portfolio performance can only be guaranteed through
diversification
D) Both (A) and (B)
Give this one a try later!
Correct answer: C Correct answer: B
Correct answer: A Correct answer: D
Don't know?
3 of 719
Term
Question 256: What is CDO-square?
A) A CDO with a leverage of 2
B) A CDO backed primarily by the tranches issued by other CDOs
C) A type of structured asset-backed security (ABS) based on
S&P500
D) A CDO that earns by shorting other CDOs
Give this one a try later!
, Correct answer: D Correct answer: A
Correct answer: C Correct answer: B
Don't know?
4 of 719
Term
Question 153: If a call option is far 'out of the money' the value of the
option will be:
A) Equal to the value of a put option with the same exercise price
B) Greater than the value of a put option with the same exercise
price
C) Less than the value of a put option with the same exercise price
D) None of the above is correct
Give this one a try later!
Correct answer: A Correct answer: C
Correct answer: D Correct answer: B
Don't know?
5 of 719
