What determines stock market valuations?  b. Is a stock's price primarily determined by the discounted sum of future cash flows, monetary policy, or fear and greed? c. Is market timing possible using sentiment indicators such as put/call ratios and Investor's Intelligence surveys?

What is the basic purpose for examining trends in a company’s financial ratios and other data? What other kinds of comparisons might an analyst make?

What is the purpose of looking at financial ratios and other data as a financial analyst?  What other ways can you do data analysis?

Why do technical analysts look at the moving average of a company’s stock price, and why do they look at trend lines?  (Did you know that technical analysis is used for bond investing too?)

1. Are the firm’s expected future earnings important in determining a stock’s investment merits? Discuss how stock valuation relies on these and other future estimates

Which of the following is the best reason why the price-earnings method is often used by investors to estimate the fair price of a stock? a) Because the earning multiples are easily found in online financial databases. b) Earnings per share is a known amount that is related to the payment of future dividends. c) Because the price-earnings method gives the same answer as the constant growth method and is easier to compute. d) The price-earnings method has been shown to provide the most accurate price estimate.

2. How would you describe the correlation between risk and return in investments, and what are the various types of income that investors consider from their standpoint?

Explain the concept of risk - return trade-off in investing. How do investors balance risk and return. when making investment decisions?

What are the siginificance of financial ratios (i.e. current ratio; DSO; TATO; profit margin; ROA; ROI)? How do they help us interpert financial data? What are the differences between ratios (i.e. profiability; liquidity; leverage)? What information do they provide for us?

Arbitrage traders rely on... Select one: a. .. superior earnings forecasts b. .. predictable relationships between the prices of two or more assets c. ... technical analysis d. All of the above