1、Which of the following statements is most accurate about the responsibilities of an auditｏｒfｏｒa publicly traded firm in the United States? The auditor:【单选题】
A.assures the reader that the financial statements are free from error, fraud, ｏｒillegal acts.
B.must express an opinion about the effectiveness of the company’s internal control systems.
C.must state that he prepared the financial statements according to generally accepted accounting principles.
答案解析:“Financial Statement Analysis: An Introduction,” Elaine Henry ａｎｄ Thomas R. Robinson
2012 Modular Level I, Vol. 3, pp. 28–31
Study Session 7-22-d
Describe the objective of audits of financial statements, the types of audit reports, ａｎｄ the importance of effective internal controls.
B is correct. Fｏｒa publicly traded firm in the United States, the auditｏｒmust express an opinion as to whether the company’s internal control system is in accordance with the Public Company Accounting Oversight Board, under the Sarbanes–Oxley Act. This is done either as a final paragraph in the auditor’s report ｏｒas a separate opinion.
2、A fund manager compiles the following data on two companies:
Based on the information provided, the most accurate conclusion is that Company A’s stock is more attractive relative to that of Company B’s because of its:【单选题】
A.smaller P/E ratio.
B.greater financial leverage.
C.higher dividend growth rate.
答案解析:“Financial Analysis Techniques,” Thomas R. Robinson, CFA, Jan Hendrik van Greuning, CFA, Elaine Henry, CFA, ａｎｄ Michael A. Broihahn
2011 Modular Level I, Vol. 3, pp. 342-343
“Equity Valuation: Concepts ａｎｄ Basic Tools,” John J. Nagorniak, CFA, ａｎｄ Stephen E. Wilcox, CFA
2011 Modular Level I, Vol. 5, pp. 290-291
Study Session 8-35-f, 14-60-h
Demonstrate the application of ａｎｄ interpret changes in the component parts of the DuPont analysis (the decomposition of return on equity).
Calculate ａｎｄ interpret the following multiples: price to earnings, price to an estimate of operating cash flow, price to sales, ａｎｄ price to book value.
From the computations shown below Company A’s stock is more attractive because of its smaller P/E ratio than Company B’s stock.
3、According to the short-run Phillips curve, when inflation is less than expected, the most likely initial effect is that:【单选题】
A.real wage rates will fall.
B.real interest rates will fall.
C.unemployment will rise above its natural rate.
答案解析:“U.S. Inflation, Unemployment, ａｎｄ Business Cycles,” Michael Parkin
2010 Modular Level I, Vol. 2, pp. 406-408
Study Session 6-25-e
Explain the impact of inflation on unemployment, ａｎｄ describe the short-run ａｎｄ long-run Phillips curve, including the effect of changes in the natural rate of unemployment.
The difference between actual ａｎｄ expected rates of inflation influences unemployment. When inflation falls below its expected rate, unemployment rises above the natural rate.
4、As a condition of his employment with an investment bank, Abasi Hasina, CFA, was required to sign an employment contract, including a non-compete clause restricting him from working fｏｒa competitｏｒfｏｒthree years after leaving the employer. After one year, Hasina quits his job fｏｒa comparable position with an investment bank in a country where non-compete clauses are illegal. Lawyers with whom he consulted priｏｒto taking the new position determined the non-compete clause was a violation of human rights ａｎｄ thus illegal. Did Hasina most likely violate the CFA Institute Code of Ethics?【单选题】
B.No, because the non-compete clause violates his human rights
C.No, because the non-compete clause is illegal in the new country of employment
答案解析:“Code of Ethics ａｎｄ Standards of Professional Conduct,” CFA Institute2012 Modular Level I, Vol. 1, p. 15