Analysis of Investments and Mangement of Portfolios International 10th Edition Reilly Test Bank
Analysis of Investments and Mangement of Portfolios International 10th Edition Reilly Test Bank
Analysis of Investments and Mangement of Portfolios International 10th Edition Reilly Test Bank
TRUE/FALSE
1. Experts suggest life insurance coverage should be seven to ten times an individual's annual salary.
ANS: T PTS: 1
2. Term life insurance provides both a death benefit and a savings plan.
ANS: F PTS: 1
3. Most experts recommend a cash reserve of at least one year's worth of living expenses.
ANS: F PTS: 1
ANS: F PTS: 1
5. The gifting phase is similar to, and may be concurrent with, the spending phase.
ANS: T PTS: 1
ANS: T PTS: 1
7. It is not a good idea to get too specific when constructing your policy statement.
ANS: F PTS: 1
8. Asset allocation is the process of dividing funds into different classes of assets.
ANS: T PTS: 1
ANS: F PTS: 1
10. Individual security selection is far more important than the asset allocation decision.
ANS: F PTS: 1
11. Return is the only important consideration when establishing investment objectives.
ANS: F PTS: 1
12. In constructing the portfolio, the manager should maximize the investor's risk level.
© 2012 Cengage Learning. All Rights Reserved. This edition is intended for use outside of the U.S. only, with content that may be different from the U.S.
Edition. May not be scanned, copied, duplicated, or posted to a publicly accessible website, in whole or in part.
ANS: F PTS: 1
14. An appropriate investment objective for a typical 25-year-old investor is a low-risk strategy, such as
capital preservation or current income.
ANS: F PTS: 1
ANS: T PTS: 1
16. Average tax rate is defined as total tax payment divided by total income.
ANS: T PTS: 1
17. The portfolio mixes of institutional investors around the world are approximately the same.
ANS: F PTS: 1
18. The ability to retire at a certain age is a typical example of a long-term, lower-priority goal.
ANS: F PTS: 1
19. It is essential that both the client and the portfolio manager agree on an appropriate benchmark
portfolio.
ANS: T PTS: 1
20. An example of a unique need in an investment policy statement is related to the legal responsibilities
of a fiduciary or trustee.
ANS: F PTS: 1
21. Equity allocations of pension funds in Japan and Germany are similar to those in the United States.
ANS: F PTS: 1
22. Investing 30 to 40 percent of your retirement funds in the company you work for is reasonable when
they match funds.
ANS: F PTS: 1
ANS: T PTS: 1
© 2012 Cengage Learning. All Rights Reserved. This edition is intended for use outside of the U.S. only, with content that may be different from the U.S.
Edition. May not be scanned, copied, duplicated, or posted to a publicly accessible website, in whole or in part.
MULTIPLE CHOICE
1. The current outlay of money to guard against a potentially large future loss is commonly known as
a. Asset management.
b. Portfolio management.
c. Minimizing risk.
d. Loss control.
e. Insurance.
ANS: E PTS: 1 OBJ: Multiple Choice
3. ____ phase is the stage when investors in their early-to-middle earning years attempt to accumulate
assets to satisfy near-term needs, e.g., children's education or down payment on a home.
a. Accumulation
b. Spending
c. Gifting
d. Consolidation
e. Divestiture
ANS: A PTS: 1 OBJ: Multiple Choice
© 2012 Cengage Learning. All Rights Reserved. This edition is intended for use outside of the U.S. only, with content that may be different from the U.S.
Edition. May not be scanned, copied, duplicated, or posted to a publicly accessible website, in whole or in part.
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“A man named Walter, whom few of you seem to know much about. It’s
himself I mean. He thinks he’s doing it for me; and I let him think so; but
he’s really out of my hands now. And one of these days, when he gets a
good, sure grip on himself, I’ll match-make him off so secretly that
neither he nor she will ever know that I planned it all myself.”
“She? Why, who——”
“Well,” she mused, “I’m not sure. If he keeps on the way he’s goin’ it’ll
be one of the Fernzie girls, the younger one, maybe. But if he improves a
lot, I may pick out an Armstrong or a Sheppard!”
“Oh!” gasped Jerry. Only a native could understand the prodigiousness
of that colossal joke.
The talk drifted here and there, always subject to Phœbe’s clever will;
and when she made some joking remark about the use of her cottage as a
public bathing pavilion, and in the same breath announced that whatever
those two “gallivanters” intended to do the rest of the night, she was
going to her bed, the moment was right for Richard to raise two fingers
mutely, “Let’s go swimmin’,” and for Jerry to fling up the answer, “All
right.”
It was an outlandish thing to do, but what water lover could resist? The
night was warm, the Lake was waveless, and the lump of a moon lighted
up the scene.
Richard was waiting on the dock for her. A light in Phœbe’s room went
out, and still he waited. For a moment he feared that Jerry had changed
her mind, or perhaps had played a trick on him and had gone out the rear
door and had fled home. Then the light downstairs went out suddenly; he
heard the front door close with a click, and out of the shadow of the
house he discerned the lithe brown figure moving towards him.
Somehow they did not plunge off instantly, as had been their habit.
Instead, they stood on the edge of the dock and talked. He spoke of the
new life opening before him; and he told her of his father, of his life of
pathetic isolation. The pity of it struck her, and she showed it in her
voice and in her eyes. Her hand touched his arm in sympathy.
Then Richard, who was a man first and a swimmer after, succumbed to
the enchantment of the brown being before him and began again the
vehement avowals which had never been quite completed to his
satisfaction in the summer-house.
“Say you will marry me, Jerry,” he persisted. “I want you and I will have
you! I won’t let you go! Will you marry me, Jerry? Will you? Will you?”
with much unoriginal repetition of the same sort.
“No!” she said. He persisted in asking; but she said, “No!” Nothing
daunted, he began all over again and grew even a shade more insistent.
The world and its ugly sneer began to fade away, but she fought against
her growing irresolution. It was folly, but it was her best instinct, too.
Every right marriage has in its history somewhere the struggle that
precedes surrender. And years of Virginia tradition had put the seal of
necessity on this final struggle. A Wells would force the tribute of
conquest and capture!
“No!” she said vehemently. “No!” He would not be answered and took a
step nearer, but she put out a hand as if to ward him off. “No!” she cried,
almost hysterically, plunged into the water and struck off into the Lake.
He followed quickly. She was aiming straight towards the farther shore,
and going forward at a dangerous pace. Fear seized him. With terrific
strokes he caught up to her and begged her to come back, but she shook
her head wildly and went desperately on. He promised that he would
never pester her again, but she was blind to persuasion. So he kept at her
side, although it tested his powers, swimming in silence, and watching
every stroke with the keenest anguish.
Shortly she slowed up, and later turned on her back and floated. He
waited until he thought the rest had brought back her strength and then
coaxed her to return. For answer she began swimming onward again, this
time with her long easy sweep; and he followed without a word.
She was in no condition for a distance swim. The day had worn her
down, and the night’s excitement had not helped; but she summoned her
will and swung steadily on. On, on, on, they went while shore faded off
and the great white moon filled the night.
Within a hundred yards of the shore she faltered. He reached quickly for
her, but she cried out incoherently and struck at him. The last few yards
was an agonizing attempt to reach the shallow water. She was threshing
wildly, and calling on him blindly to “keep away!”—although he had not
offered again to touch her—when her foot reached bottom; she tried to
stand but could not, and fell upon her face. He picked her up, but she
pushed him aside and stumbled on to the shore, where she dropped prone
upon the grass, thoroughly spent.
He did not know what to say, fearing that his words might do further
damage, so he sat mutely beside her and listened to her hysteric weeping,
and suffered torments.
While he was waiting, a light flared up in Phœbe’s cottage, and later he
heard the clear rhythm of rowlocks. The distance straight across the Lake
at this point was probably three-quarters of a mile, and, no doubt, in the
stillness of the night the sound of every exclamation had floated over the
flat water and had reverberated in Phœbe’s room. The old Indian
tradition that each year Keuka will take her toll of five had been all too
often verified; so the Lake dwellers were trained to listen keenly when
unusual cries came over the water.
In the white moonlight every object was clear, clearer, it seemed, even
than day. So Richard rose quietly, went to a knoll a few feet away, and
stood and waved his arm. After a time he saw the boat change its course
and knew that Phœbe had marked him. Then he went back and sat on
guard over the prostrate swimmer.
She was quieter now and, save for occasional swift shudders, her
breathing had become almost normal. Suddenly she started to her feet,
and made for the Lake.
“You are not going to swim back?” he protested.
She made no answer, and stepped into the shallow water; but he stood
before her and seized her boldly in his arms.
“I will not let you go!” he spoke firmly, and tightened his grasp. She
struggled and cried out upon him and told him that he was hurting her,
but he drew her to him and was thankful for his strength. And all the
while he talked to her, telling her things that he had told her many times
before, matters which he had given his solemn word would never be
broached again; acting, indeed, like the most and the least intelligent of
swains. He used phrases that have been iterated since the world began to
swim in space; there was not a spark of originality in him!
For a minute or two she tried her little powers against him; then suddenly
she gave in, sobbing like a very contented child. She reached her arms
slowly up and put them about him, and clung to him and confessed her
complete surrender.
Proud Miss Piddiwit had melted quite away.
And thus they stood when the boat grated on the shelving shore and
Phœbe drew in the oars, and turned about and faced them. She was again
in her blue kimono and her wonderful hair fell in its broad braids.
“The saints in heaven!” she ejaculated. “An’ have I got up out o’ me bed
an’ rowed clear across the Lake only to spoil a pretty picnic party! An’
with the yellin’ and the splashin’ it’s drowned I thought ye were! What
do you mean by disappointin’ me like that!”
Out of the boat leaped Phœbe, not caring at all for six inches of water,
and swooped down upon Jerry.
“Angel-child!” she cried as she reached to draw the wet brown form to
her. “Don’t let that big piggy have all the huggin’!” Jerry tottered into
her wide-opened arms. “Dear-a-dear! Dear-a-dear!” Phœbe soothed as
she rocked her precious burden to and fro. “An’ it’s cryin’ ye are!... An’
well ye may! An’ well ye may!... An’, by the cross of Saint Michael, it’s
cryin’ myself I am!”
P G B R C &S ,L ,
PARIS GARDEN, STAMFORD ST., S.E. 1, AND BUNGAY,
SUFFOLK.
SOME
CONSTABLE
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MARY JOHNSTON
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ELEANOR H. PORTER
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KATHARINE BURT
CHARLES NORRIS
RALPH PAINE
MRS. GEORGE WEMYSS
W. P. LIPSCOMB
THE TITLES OF RECENT BOOKS BY
THESE AUTHORS WILL BE
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These are the latest books of the famous Author of
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The latter of these books, now in its fifth impression, is
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“Anne of Green Gables” has friends the world over.
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Educating Peter
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Both these books are inimitably illustrated by H. M.
Bateman.
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