INV2601 EXAM PACK 2023

INV2601
EXAM PACK




FOR ASSISTANCE WITH THIS MODULE +27 67 171 1739

, INV2601/2021
MOOC EXAM




INV2601
ONLINE MOCK EXAM
2021

FUNDAMENTALS OF INVESTMENT MANAGEMENT




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, INV2601/2021
MOOC EXAM

2021 ONLINE MOOC EXAM QUESTIONS

1. Which one of the following ratios is used to determine whether a company will be able
to meet its short-term obligations as they fall due?


1. Long-term debt ratio
2. Current ratio
3. Average obligation period
4. Gross profit margin
2. A parallel of the security market line (SML) is caused by change in the…………

1. Standard deviation
2. Market risk premium
3. Nominal risk free rate of return
4. Beta
3. The required rate of return of Stay-Safe Enterprise is 14%. The risk-free rate of
return is 5% per annum and the rate of return of the market is 11%. Calculate the
beta of Stay-Safe Enterprise using the Capital Asset Pricing Model (CAPM).

1. 1.4
2. 1.0
3. 1.5
4. 0.98




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, INV2601/2021
MOOC EXAM

Use the information in the table below to answer questions 4 to 7.


Bull market Normal market Bear market
Probability 0.40 0.30 0.30
Share A’s return 23% 15% 8%
Share B’s return 25% 10% 7.5%


Expected return Standard Coefficient of
deviation variation
Share A ? 6.26% ?
Share B 15.25% ? ?



4. Calculate the expected return of Share A.


1. 15.33%
2. 16.10%
3. 17.67%
4. 18.45%


5. Calculate the standard deviation of Share B.


1. 7.25%
2. 8.02%
3. 9.36%
4. 10.11%


6. Calculate the coefficient of variation of Share A.


1. 0.39
2. 0.54
3. 2.43
4. 2.56



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