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BUS 106 FINAL EXAM PRACTICE QUESTIONS WITH COMPLETE ANSWERS

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BUS 106 FINAL EXAM PRACTICE QUESTIONS WITH COMPLETE ANSWERS

Institution
BUS 106
Course
BUS 106

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1 of 38

Definition Term


Which of the following identifies
A
the distinction between a U.S.
Treasury bond and a Treasury
note?
A. Bonds make coupon
payments; notes do not.
B. Bills have default risk; bonds
do not.
C. Bonds are priced in 32s;

,notes are not.
D. Bonds initially have more
than 10 years until maturity;
notes have fewer than 10 years
initially.

Give this one a try later!



True False



Correct definition



D




2 of 38

Definition Term



Which of the following best A
characterizes the difference
between growth stocks and
income stocks?
A. Growth stocks do not pay
dividends.
B. Income stocks offer higher
rates of return.
C. Income stocks are seasoned
issues.
D. Growth stocks have greater
PVGO.

Give this one a try later!

, True False



Correct definition



D




3 of 38

Definition Term



The cost of a merger equals the: C
A. cash paid for the target firm.
B. increase in total earnings less
price paid.
C. premium paid over the
target's value as a separate
entity.
D. sum of cash and stock paid
for the target firm.

Give this one a try later!



True False




4 of 38

Definition Term



When an outside group C
acquires a firm, primarily
through the use of borrowed

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Institution
BUS 106
Course
BUS 106

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