BUSFIN Exam #2 AU24 PDF

# BUSFIN Exam #2 ## Note: use this review as a guide, not a complete inventory of potential exam questions As a starting point, I recommend reviewing your PowerPoint slides and then comparing your notes with the book text. (Note: If the book is not available by Wednesday, September 25th, I will ad...

# BUSFIN Exam #2 ## Note: use this review as a guide, not a complete inventory of potential exam questions As a starting point, I recommend reviewing your PowerPoint slides and then comparing your notes with the book text. (Note: If the book is not available by Wednesday, September 25th, I will adjust the exam accordingly.) ## Chapter 1 ### Primary vs. Secondary Markets ### Money Markets vs. Capital Markets ### SLIDE 14 - MMKT Instruments ### SLIDE 17 - Capital Market Instruments FX rates fluctuate and are variable. They are affected by: 1. 2. 3. ***You will NOT be responsible for the information on slide 22.*** ### Nominal vs. Real Interest Rates ### Liquidity Risk ***You will NOT be responsible for the information on slide 42.*** ### SLIDE 44 - Three YC Theories Agency Debt = ### SLIDE 36 - Risk-Free Rate ### Default or Credit Risk ## Decoding Fixed Income ### Premium vs. Discount Bond YTM ### Current Yield vs. YTM ### Principal vs. Average Life ### SLIDE 7 - Bond Characteristics ### SLIDE 9 - Shapes of YC ### Slide 11 - How to Analyze Bonds ### Floater Spread ### How to tell if an asset or liability ### SLIDE 15 - Duration Measures ### SLIDE 16 - Principals of Duration ***You will NOT be responsible for formulas on page 18.*** ### Treasuries vs. Corps ### How Bonds Affect Our Daily Lives 1. 2. 3. 4. 5. 6. 7. ## Decoding Stocks ### Dividend vs. Capital Gains ### SLIDE 5 - What moves stocks? 1. 2. 3. 4. 5. 6. 7. ***You will NOT be responsible for formulas on page 17.*** ### SLIDES 6/7 – Business Cycles ### SLIDE 9 - Common vs. Preferred ### SLIDE 10 – Various ways stocks are Described * Company Size * Type * Performance during Market Cycles * Short & Long Term ### P/E ### Mutual Funds vs. ETFs ***You will NOT be responsible for FORMULAS on page 21.*** ### SLIDE 22 - Analyzing Mutual Funds ### SLIDE 23 - Analyzing ETF ### SLIDE 31 - Stock Indexes ## WSJ Quizzes ### WSJ #4 * Five Things to Watch as JPMorgan Kicks Off Bank Earnings This Week * U.S. Hiring Accelerated in September, Blowing Past ### WSJ #5 * Three Big Takeaways From Bank Earnings * Three Big Takeaways From Bank Earnings ### WSJ #6 * Savers Bid a Sad Farewell to Higher Yields ## The Ohio State University ## Fisher College of Business