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Business English Exercises
 

No Free Lunch

Answers to test questions and links to explanations

Home > Teaching Business English > Business English Lessons, Advanced Level # 332
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no free lunch answer 1
The most important principle upon which to premise an investment philosophy is to recognize that there is no free lunch — all investing involves trade-offs; for every perceived reward, there is some associated risk, whether perceived or not.

Correct answer: (d) philosophy

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no free lunch answer 2
The Dow Jones Industrial Average is a price-weighted index of 30 blue chip stocks.

Correct answer: (d) weighted

Meaning of business term weighted
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no free lunch answer 3
A limit-on-close order is a type of limit order to buy or sell shares near the market close only if the closing price is trading better than the limit price.

Correct answer: (c) on

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no free lunch answer 4
If you have defaulted on a debt in the past and you have either reached a compromise with a creditor to settle your debt, or the creditor has deemed the debt to be non-collectable and has stopped attempts to recover, you may receive a Cancellation of Debt (1099-C) form from the IRS.

Correct answer: (a) a Cancellation

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no free lunch answer 5
Rescission is an equitable remedy that wipes out the existing contract and restores the parties to their prior situation; it can occur as a result of innocent or fraudulent representation, mutual mistake, lack of legal capacity, an impossibility to perform a contract not contemplated by the parties, or duress and undue influence.

Correct answer: (c) Rescission

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no free lunch, question 5 business english writing worksheets, what does rescission mean? what is the definition for rescission?

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no free lunch answer 6
Starting from the spot month to the most distant month option series of the same underlying strike price and call/put type, if the fixing price is smaller than or equal to the fixing price of the preceding option series, it will be adjusted to a value not lower than the fixing price of that series.

Correct answer: (a) distant

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no free lunch, question 6 no free lunch, small business management software, what does distant mean? what is the definition for distant?

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no free lunch answer 7
This Plan provides for the issuance of non-statutory stock options which are not intended to qualify as 'incentive stock options' within the meaning of Section 422 of the Internal Revenue Code of 1986; it is an employment incentive for persons of experience and ability and whose services are considered valuable.

Correct answer: (c) statutory

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no free lunch answer 8
April 1996 amendments to Regulation T of the Board of Governors of the Federal Reserve System delegated authority to option exchanges to set option margin requirements in their rules, provided such rules are approved by the Securities and Exchange Commission.

Correct answer: (d) margin

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no free lunch answer 9
The market portfolio concept is important in a variety of financial theories, including Modern Portfolio Theory (MPT); according to the MPT, investors should concentrate on choosing portfolios based on overall risk-reward concepts, rather than focusing on the attractiveness of individual securities.

Correct answer: (c) market

Meaning of business term market
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no free lunch answer 10
To calculate the quick ratio, take the current assets and subtract the inventory; what you are left with are the items that can be converted into cash immediately; then, divide the result by the current liabilities.

Correct answer: (c) quick

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Business English Practice Exercises Business English Tests — several topics are covered: office matters, job applications, computer English, money expressions, business law, operations management, retail marketing, e-commerce, accounting terms, contracts and agreements, commercial correspondence, etc.
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