CFA备考之CFA一级习题精选及解析

1 CFA备考之CFA一级习题精选及解析0428-2 1、 In case of a decline in LIFO reserve, to obtain a better analysis an analyst should: A) adjust the income statement, only if such a decline is due to LIFO liquidation. B) not make any adjustments. C) adjust the income statement, regardless of the reasons for the decline. 2、Given the following data: Beginning LIFO Reserve $2,300 Cost of Goods Sold (COGS) using LIFO $6,100 2 COGS using FIFO of $4,300 What is the Ending LIFO reserve? A) $4,100. B) $500. C) $2,800 3、Earlier this year, Barracuda Company issued 5,000 employee stock options. Recently, 2,000 options were exercised at a price of $10 per share. To avoid dilution, Barracuda purchased 2,000 shares at an average price of $12 per share. Barracuda reported both transactions as financing activities in its cash flow statement. For analytical purposes, what adjustment is necessary to better reflect the substance of the stock repurchase? 3 Operating cash flow Financing cash flow A. Decrease $4,000 No adjustment B. No adjustment Increase $4,000 C. Decrease $4,000 Increase $4,000 4、Using the lower of cost or market principle under U.S. GAAP, if the market value of inventory falls below its historical cost, the minimum value at which the inventory can be reported in the financial statements is the: A. net realizable value. B. market price minus selling costs minus normal profit margin. C. net realizable value minus selling costs. 4 5、Inventory, cost of sales, and gross profit can be different under periodic and perpetual inventory systems if a firm uses which inventory cost method? A. FIFO or weighted average cost, but not LIFO. B. LIFO or weighted average cost, but not FIFO. C. LIFO or FIFO, but not weighted average cost. Answer： 1、solution：A A decline in LIFO reserve is due to either falling prices or LIFO liquidations. In the case of LIFO liquidation, the income statement does not reflect the current costs and should be adjusted. In the case of falling prices, the LIFO income statement amounts are current and do not need adjustment. 5 2、solution：A Ending LIFO Reserve = (LIFO COGS ? FIFO COGS) + Beginning LIFO Reserve = (6,100 ? 4,300) + 2,300 = $4,100 3、solution：B Barracuda reported a $4,000 net outflow from financing activities [2,000 options* ($12 average market price-$10 exercise price)]. However, since the options are a form of compensation, the $4,000 outflow should be reclassified as an operating activity for analytical purposes. This is accomplished by increasing financing cash flow $4,000 and decreasing operating cash flow $4,000. 4、solution：B When inventory is written down to market, the replacement cost of the inventory is its market value, but the market value must fall between net realizable value (NRV) and NRV less normal profit margin. NRV is the market price of the inventory 6 less selling costs. Therefore the minimum value is the market price minus selling costs minus normal profit margin. 5、solution：B The LIFO and weighted average cost methods can provide different values for inventory, cost of sales, and gross profit depending on whether the firm uses a periodic or perpetual inventory system. FIFO produces the same values from either a periodic or perpetual inventory system.

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CFA备考之CFA一级习题精选

1.Monique Gretta, CFA, is a research analyst at East West

Investment Bank. Gretta has several long-standing relationships

with mutual funds and institutional investors. Gretta often

provides these clients with draft copies of her research before

disseminating the information to all of the bank’s clients. This

practice has helped Gretta avoid several errors in her reports

and she believes it is beneficial to the rest of her client base.

Regarding her research, Gretta least likely violated the CFA

Institute Code of Ethics and Standards of Professional Conduct

because:

A. Her report is a draft.

B. Of her conflicts of interest

C. This practice benefits clients.

2. Investment analysts often use earnings per share (EPS)

forecasts. One test of forecasting quality is the zero-mean test,

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CFA备考之CFA一级习题精选及解析

Case

1. Bryan Barrett, CFA, provides investment advice on gold and

other hard assets to several large institutions. To broaden his

business and meet increased interest in these assets from retail

customers, Barrett advertises his services in publications that

serve a general audience. As the client base for the institutions

that Barrett serves is large, he is comfortable stating in the ads

that thousands of his clients have benefited from his advice.

Does Barrett’s advertisement violate any CFA Institute

Standards of Professional Conduct?

A. No.

B. Yes, related to Misrepresentation.

C. Yes, related to Communication with Clients.

2. An analyst finds that the probability of stock A outperform

the market is 60%. What is the odds for of the stock A 2

underperform the market?

A. 2/3

1 CFA备考之CFA一级习题精选及解析0506-6 Q1: Earlier this year, Barracuda Company issued 5,000 employee stock options. Recently, 2,000 options were exercised at a price of $10 per share. To avoid dilution, Barracuda purchased 2,000 shares at an average price of $12 per share. Barracuda reported both transactions as financing activities in its cash flow statement. For analytical purposes, what adjustment is necessary to better reflect the substance of the stock repurchase? Operating cash flow；Financing cash flow A. Decrease $4,00；No adjustment B. No adjustment；Increase $4,000 2 C. Decrease $4,000；Increase $4,000 Q2: If a lessee enters into a finance lease rather than an operating lease, it can expect to have a: A. higher return on assets. B. higher debt-to-equity ratio. C. lower debt-to-equity ratio. Q3: Which of the following statements regarding a direct financing lease is least accurate? 3 A. The principal portion of the lease payment is a cash inflow from investing on the lessor';s cash flow statement. B. Interest revenue on the lessor's income statement equals the implicit interest rate times the lease payment. C. The lessor recognizes no gross profit at the inception of the lease. Q4: Which of the following statements about the impact of leases on the financial statements of the lessee is least accurate? A. Net income is lower in the early years of a finance lease than an operating lease. B. A finance lease results in higher liabilities compared to an operating lease. 4 C. Cash flow from investing is higher for a finance lease than an operating lease. Answer 第一题：C answer：Barracuda reported a $4,000 net outflow from financing activities [2,000 options* ($12 average market price-$10 exercise price)]. However, since the options are a form of compensation, the $4,000 outflow should be reclassified as an operating activity for analytical purposes. This is accomplished by increasing financing cash flow $4,000 and decreasing operating cash flow $4,000. 第二题：B 5 answer：Leasing the asset with an operating lease avoids recognition of the debt on the lessee’s balance sheet. Having fewer assets and liabilities on the balance sheet than would exist if the assets were purchased increases profitability ratios (e.g., return on assets) and decreases leverage ratios (e.g., debt-to-equity ratio). In the case of a finance lease, the assets are reported on the balance sheet and are depreciated. 第三题：B answer：Interest revenues are calculated by multiplying the implicit interest rate by net receivables at the beginning of the period. 第四题：C 6 answer：Cash flow from investing is not affected by a lease being either a finance or an operating lease. Finance leases reduce cash flow from operations by only the portion of the lease payment attributed to interest expense. Cash flow from financing is reduced by the rest of the finance lease payment which is the principal part of the payment.