Quantative Methods Flashcards
1
Q
If the mode is less than the median which is less than the mean what is this
A
Positive sqew
2
Q
What is sample error
A
Difference between observed statistic and population value
3
Q
The annual percentage return (APR) on a loan is
A
Total interest paid in a year divided by the initial balance
4
Q
IRR or NPV
A
NPV - because NPV approach gives us the solution that will always maximize the wealth of an investor
5
Q
Equally weighted geometric index
A
FT - 30 index
6
Q
Market weighted arithmetic index
A
All FTSE all world indices
7
Q
Simple Aggregation of unweighted share prices
A
The Dow Jones Indistrial Average
8
Q
Market weighted average
A
S&P 500