Free CTFA Exam Braindumps (page: 49)

Page 48 of 113

High price earnings ratio often indicates that investors:

  1. Are avoiding the company stock
  2. Are optimistic about the company
  3. Like the company products
  4. Don' t worry about the inflation

Answer(s): B



Defensive stocks:

  1. Are y relatively independent from the business cycle
  2. Are blue chip stocks
  3. Are growth stocks
  4. None of these

Answer(s): A



Stock beta measures:

  1. Stock volatility
  2. Company earnings
  3. Stock correlation with the CPI
  4. Company debt

Answer(s): A



Penny stocks are traded on:

  1. NYSE
  2. AMEX
  3. NASDAQ
  4. OTC

Answer(s): D






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