Deneme Sınavı Soruları

1. Forward contracts
2. Futures contracts
3. Swap contracts
4. Option contracts

Which of the above are classified as derivative instruments whose performance is determined by underlying assets?

Which of the following is the degree of speed and cost of important information to reach market participants in the financial markets?

........................is a security that provides its holder the rights of other stocks with the exception of voting right. This type of shares are generally presented with the code A.

Which of the following should be at the dotted place?

Which one of the following measurement express to that numerically and refer to a particular situation at a given time?

Which of the following is the rate that equals the present value of the expected cash flows of the bond to the price plus accrued coupon payments?

How is the current yield of a bond calculated?

Which of the following is a fixed-income security and a type of debt instrument?

Suppose the risk-free rate is 12%, S= $75, and t (time period) is 3 month. What is the forward price?

Which of the following  is a bond type that the owner is the person who holds it?

What is the difference between an American option and a European option? 

"_ _ _ _ _ _ _ can be exercised any time up to the expiration date, while _ _ _ _ _ _ _ are exercised only on the expiration date."

Which of the following describes correctly the spaces above?

Suppose two parties are engaged in a forward contract with $100 forward price. Which of the following can be said when the underlying asset's price exceeds $100 at the expiration date?

Suppose the risk-free rate is 12%, S0 = 120, and t (time period) is 3 month. What is the forward price?

1. A derivative as defined by Security and Exchange Commission (SEC) is: “a type of financial instrument whose value is derived from another underlying product”.
2. By derivative product, we mean those financial instruments that derive its value from the performance of an underlying (asset).
3. In other words, a derivative is a legal contract that involves two parties, a buyer and a seller who agree to do something for each other.
4. Derivative contracts are recognized by the legal system as commercial contracts and they set the right and obligations of each involved party.

Which of the statements above related to derivatives are correct?

Which of the following is a term that describes the minimum amount of money needed to buy a security?

Suppose investors expect a %15 increase in dividends annually for a stock which paid 7 TL dividend. If the desired rate of return is %20 find the fair value of the stock.

Which of the following is a term describing how much minimum amount of money is needed in order to buy a security?

1. Futures contracts are the same as forward contracts except that futures contracts are organized, regulated and managed by an Exchange, in other words, futures contracts are standardized.
2. A futures contract is an agreement made through an organized exchange to buy or to sell a fixed amount of an underlying commodity or financial asset on a future date (or within a range of dates) at an agreed price.
3. Unlike forward contracts, futures contracts require the existence of a legally recognized futures exchange that provides, manages and organizes these contracts.
4. On the exchange, not all types of derivatives are allowed, only certain contracts are authorized for trading.
5. Futures contracts can be accessed through both physical locations as well as through an electronic system.
6. The derivative exchange has a mechanism that offers the two parties a guarantee against any default.
7. An organized Exchange has a Clearing house through which it settles daily the losses and gains of futures contracts and protects itself against loss.

Which of the statements above related to futures contracts are correct?

What is binominal option pricing model?