1. Prince Edward Island has preferential share for spouses.

True

False

2. If you invest $1000 in stock that pays no dividends and sell the stock exactly one year later for $1100, what will be your return? (Ignore commissions and trading fees.)

a. 1 percent

b. 5 percent

c. 100 percent

d. 10 percent

3. A financial plan should be

a. prepared when you graduate from college or university and carefully followed thereafter without changes.

b. done only in a rough outline, as it will change too often to make anything more detailed feasible.

c. prepared when you graduate from college or university and reviewed and adjusted periodically as events such as marriage, job changes, birth of children, and retirement necessitate.

d. prepared when you graduate from college or university and carefully followed until you retire, when you will no longer need one.

4. Computer systems that match up buyers and sellers of stocks, even at night when the other exchanges are closed, are

a. the Montreal Exchange.

b. the over-the-counter (OTC) markets.

c. the Toronto Stock Exchange.

d. the regional stock exchanges.

5. Given the following ATT Ltd. bond information: $1000 par value, maturity 2023 Dec 22 semi-annual coupon 7.75 percent, price 105.50 and yield 7.4 percent. How much interest does it pay annually?

a. $7.40

b. $74.00

c. $77.50

d. $7.50