69 CFA Sample Exam Questions Free with Instant Answers on Fixed Income

Following are 69 CFA Sample Exam Questions Free with Instant Answers on Fixed Income-a powerful tool for your study plan. Those CFA exam questionnaire is packed with invaluable and useful information to anyone who are desiring to pass all three levels of CFA exams. They focus on helping test-takers to touch all the corner of content on fixed income and stay tuned with the most updated knowledge for the next exam. Besides, they are geared towards the improvement of logical thinking by giving practical examples into each question. As such, ensure to provide you with an amazing testing experience and big chance of getting CFA certification in the future. Go over CFA sample exam questions free to gain exam results beyond your expectation and shout out end-of-test points to each other in the comment box below!
To view full questions and answers, please kindly visit our site:  http://cfaexampreparation.com/975/69-cfa-sample-exam-questions-free-with-instant-answers-on-fixed-income/

(chapter 7) all assets are distributed to holders of securities & firm ends

• reorganization
• lien status
• liquidity risk
• liquidiation

83.3%150000/180000

• What is the current LTV ratio if a home was purchased for $200000, has a current mortgage balance of $1500000 and is currently valued at 180000
• An adjustable rate mortgage (ARM) is a loan in which
• What are the four majors risks associated with investing in mortgage loans?
• What is the current yield on the 10 year U.S. Treasury ?

subsidiaries of banks to secure finances of purchases

• bank related finance companies
• negative covenants
• captive finance companies
• independent finance companies

insurance against the default of a reference entity

• credit default swap
• par asset swap
• lien status
• credit risk

particular debt issue for which credit protection is sought

• maintenance test
• prepayment risk
• reference asset
• refunding

96+14/32 +1/64

• 96-14+
• conduits
• 96 -142
• covenant

only comes into effect when the company wants to do more borrowing

• accrued interest
• reference asset
• lien status
• debt insurance test

call upon the corporation to make promises to do certain things

• affirmative covenants
• negative covenants
• credit events
• covenant

homeowner//borrower will default

• liquidity risk
• credit risk
• price risk
• credit events

the mortgage originator

• corporate debt
• original lender
• indenture
• maintenance test

bonds that adjust for the inflation rate

• conduits
• 96-14
• TIPS
• 96 -142

determined by degree of liquidity

• liquidiation
• credit risk
• price risk
• liquidity risk

a covenant is a set of rules placed on the issuer designed to stabilize performance and reduce the likelihood of default

• covenant
• refunding
• debenture
• indenture

Bills - short term debt (4,13,and 26 weeks)notes - medium term debt (less than 10 years)bonds - greater than 10 years

• treasury bills, notes, bonds
• treasury securities
• corporate bond
• collateral trust bonds

bond paid off at maturity

• credit risk
• covenant
• lien status
• bullet payoff