ExamInsight for CFA 2006 level I certification : the candidate's guide to chartered financial analyst learning outcome statements / Jane Vessey.

Format:

Book

Author/Creator:

Vessey, Jane.

Language:

English

Subjects (All):

Accounting--Study guides.

Accounting.

Accounting--Examinations, questions, etc.

Physical Description:

xxxiii, 710 p. : ill.

Edition:

1st ed.

Place of Publication:

Friendswood, TX : Total Recall Publications, 2006.

Language Note:

English

Contents:

ExamInsight For CFA 2006 Level I Certification:

About the Book:

Online Information:

2006 CFA Level I Study and Examination Program Textbooks:

Dates Regarding the June 2006 CFA Examination

Preface

Practice Questions and Answers

CFA Program

Requirements

Study Program

Taking the Exam

On the Exam Day

STUDY SESSION 1

Ethical and Professional Standards

Overview

Reading Assignments

1 Code of Ethics and Standards of Professional Conduct

Learning Outcome Statements (LOS)

Introduction

Standard I: Professionalism

Standard II: Integrity of Capital Markets

Standard III: Duties to Clients and Prospective Clients

Standard IV: Duties to Employers

Standard V: Investment Analysis, Recommendations, and Action

Standard VI: Conflicts of Interest

Standard VII: Responsibilities as a CFA Institute Member or

2 Guidance for Standards I - VII

Standard III: Duties to Clients

3 Introduction to the Global Investment Performance Standard

4 Global Investment Performance Standards

Composites

Verification

GIPS objectives

Private equity

5 The Corporate Governance of Listed Companies: A Manual for

Independence

External consultants

Committees

STUDY SESSION 2

Quantitative Methods: Basic Concepts

6 The Time Value Of Money

Interest rate and risk.

Future value and present value of a single sum

Stated and effective annual interest rates

Value of money for periods other than annual

Series of cash flows (annuities)

Time lines

7 Discounted Cash Flow Applications

Net Present Value (NPV)

Internal rate of return

Measuring portfolio returns

8 Statistical Concepts and Market Returns

Statistics

1. Mean

2. Median

3. Mode

4. Harmonic mean

Measures of dispersion

Chebyshev's inequality

Coefficient of variation

Symmetric and skewed distributions

Kurtosis

Semi-logarithmic scale

9 Probability Concepts

Random variables

Calculating probabilities

General rule of multiplication

General rule of addition

Covariance

Correlation

Bayes' formula

Multiplication rule of counting

The general formula for labeling problems

Combination formula

Permutation formula

STUDY SESSION 3

Quantitative Methods: Applications

10 Common Probability Distributions

Probability distributions

Binomial distributions

Binomial probability distribution

Mean and variance of binomial random variables

Binomial trees

Continuous uniform distribution

Normal distribution

Lognormal distributions

11 Sampling and Estimation

Sampling

Central limit theorem

Estimating a population parameter

Confidence intervals

Student's t - distribution

Confidence intervals for the population mean

Biases impacting on data selected

12 Hypothesis Testing

Hypothesis testing.

Choice of test

Tests for means of two different groups

Paired comparison tests

Testing for variance

Differences between variances

13 Correlation and Regression

Scatter plots

STUDY SESSION 4

Economics: Macroeconomic Analysis

14 Economic Fluctuations, Unemployment and Inflation

The business cycle

The labor force

Types of unemployment

Inflation

15 Fiscal Policy

Keynesian economics

16 Money and the Banking System

Money supply

The banking system

17 Modern Macroeconomics: Monetary Policy

Money demand and supply

Interest rates

18 Stabilization Policy, Output and Employment

Index of leading indicators

Expectations

STUDY SESSION 5

Economics: Microeconomic Analysis

19 Demand and Consumer Choice, including Consumer Choice and

Other terms

LOS. 1. A. b) and LOS. 1. A. c) (as in preliminary reading)

Shifts in Demand

Price elasticity of demand

Income elasticity

Consumer indifference curves

20 Costs and the Supply of Goods

Business costs

Costs

The law of diminishing returns

21 Price Takers and the Competitive Process

Price-taker market

22 Price-Searcher Markets with Low Entry Barriers

Competitive price-searcher markets.

23 Price-Searcher Markets with High Entry Barriers

Entry barrierss

Monopoly

Oligopoly

24 The Supply of and Demand for Productive Resources

Shifts in the demand curve

Supply of resources

25 The Financial Environment: Markets, Institutions and Inte

Cost of capital

Nominal rate of interest

Inflation premium

Default risk premium

Liquidity premium

Maturity risk premium

STUDY SESSION 6

Economics: Global Economic Analysis

26. Gaining from International Trade

Impact of free trade on supply and demand

Trade restrictions

27 Foreign Exchange

Bid-ask spreads

Forward exchange rates

Forward premiums and discounts

Interest rate parity

28 Foreign Exchange Parity Relations

Balance of payments

Current account

Financial account

Factors affecting exchange rates

Monetary policy

Fiscal policy

Purchasing Power Parity (PPP)

Absolute Purchasing Power Parity (Absolute PPP)

Relative Purchasing Power Parity (Relative PPP)

STUDY SESSION 7

Financial Statement Analysis: Basic Concepts

Readings Assignments

29 Framework for Financial Statement Analysis

Role of FASB

Role of the auditor

30 Long-Term Assets

Long-term assets

31 Accounting Income and Assets: The Accrual Concept

Income statement

Revenue and expense recognition.

Revenue recognition

Expense recognition

Software revenue recognition

Installment method

Cost recovery method

Percentage-of-completion method

Completed contract method

Nonrecurring items

Balance sheet

Stockholders' equity

32 The Statement of Cash Flows

Cash flows from operating activities

Cash flows from investing activities

Cash flows from financing activities

33 Analysis of Cash Flows

Statement of cash flows

Classification of individual items

Direct method

Indirect method

Acquisitions and divestures

Foreign subsidiaries

Analysis of cash flows

34 Future FASB Changes and the Analytical Challenges of GAAP

Projects related to international convergence

Revenue recognition

STUDY SESSION 8

Financial Statement Analysis: Financial Ratios and Earnings

35 Analysis of Financial Statements

Financial information used in Examples 35-1 to 35-7

1. Common-size statements

2. Internal liquidity (solvency)

3. Operating performance

4. Risk analysis

5. Growth analysis

36 Dilutive Securities and Earnings per Share

Simple capital structure

Weighted average number of shares

Complex capital structure

Convertible securities

Options and warrants

37 Seek and Ye Shall Find 38 Searching for Shenanigans

Why do people resort to shenanigans?

STUDY SESSION 9

Financial Statement Analysis: Assets

Reading Assignments.

39 Analysis of Inventories.

Notes:

Title from title screen.

Digitized and made available by: Books24x7.com.

"Practice exam provided by The Center for Financial Certification, Inc., Friendswood, Texas."

Includes bibliographical references.

ISBN:

1-59095-926-4

OCLC:

84691301