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CSI CSC1 Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Topic 1: Canadian Financial Markets and Economic Environment | - Structure of capital markets and financial system
|
| Topic 2: Fixed Income Securities | - Debt instruments
|
| Topic 3: Equity Securities | - Common and preferred shares
|
CSI Canadian Securities Course Exam 1 Sample Questions:
What is the normal shape of a yield curve?
- A. Humped
- B. Downward slope
- C. inverted
- D. Upward slops
Correct Answer: D 🗳️
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Why wouldacorporation choose to issue preferred shares rather than debt?
- A. The costs for issuing preferred shares are usually kwh than debt.
- B. issuing preferred shares would reduce the amount of leverage.
- C. Existing assets have excess financing capacity to justify the issue of preferred shares.
- D. The preferred dividend rate usually varies with the market interest rates
Correct Answer: B 🗳️
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What is a characteristicof provincial savings bonds that distinguishes them from other provincial bonds?
- A. They can be purchased at any time of the year.
- B. Theyare backed by provincial assetspledged an security.
- C. They do not have redemption rules.
- D. They can &e purchased only by residents of the province.
Correct Answer: D 🗳️
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What is the difference between sinking funds and purchase funds concerning the redemption of bonds poor to maturity?
- A. Sinking funds involve the issuer determining when bonds are redeemed while purchase funds Involve the investor determining when the bonds are redeemed.
- B. Sinking funds can redeem bonds only if they trade below a stipulated price while purchase runes do not have such a requirement.
- C. Sinking funds have mandated redemptions while purchase funds can redeem only upon certain market conditions.
- D. Sinking funds can redeem fie bones any time while purchase funds follow a prearranged schedule.
Correct Answer: C 🗳️
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What event is considered true inflation?
- A. A general and sustained decrease in prices across me economy due to a recession
- B. The sustained trend of rising prices on goods and services across the economy.
- C. A Jump in call prices which causes the cost of transported goods to increase.
- D. The introductionof a new tax which causes a one-lima increase of all prices..
Correct Answer: B 🗳️
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