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ACCA P4每日一练:transfer pricing

发布时间:2016-02-26 14:43    来源:高顿网校 我要发言   [字号: ]

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Question:One of the three main criteria in considering the investment of surplus cash is risk. Which three of the following investments are likely to be classified as low risk?
 
A. Ordinary shares in a listed company.
 
B. Government gilt-edged bonds.
 
C. Deposit in a building society account.
 
D. Junk bonds.
 
E. Debentures in blue chip listed companies.
 
The correct answers are: BCE
 
解析Investment in government bonds is very low risk, with fixed interest paid and capital security assured. Similarly, deposits with building societies and investments in blue chip company debentures yield fixed returns and have good capital security - although such organisations can run into liquidity problems, it is quite rare that they will be to the extent of affecting the safety of the investments, particularly where they are secured.
 
Investing in ordinary shares of listed companies in general is high risk - returns are not fixed and may not materialise at all, whilst the capital value of the investment fluctuates with the stock market and shareholders are last in line in times of difficulty. Junk bonds often look attractive as they offer high yields, but generally have very low-grade security. They are often issued by highly geared companies, which are inherently risky.


 

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