CFAlevel1-Mock-1131/39Questions1~18RelatetoEthics..............................................................................................2Questions19~32RelatetoQuantitativeanalysis..........................................................9Questions33~44RelatetoEconomics..............................................................................14Questions45~68RelatetoFinancialStatementAnalysis......................................18Questions69~76RelatetoCorporatefinance..............................................................26Questions77~88RelatetoEquityinvestment..............................................................28Questions89~94RelatetoDerivatives.............................................................................31Questions95~106RelatetoFixed-incomeAnalysis.................................................33Questions107~110RelatetoAlternativeInvestments...........................................36Questions111~120RelatetoPortfolioManagement.............................................37CFAlevel1-Mock-1132/39Questions1~18RelatetoEthics1.AlexanderNewton,CFA,isthechiefcomplianceofficerforMillsInvestmentLimited.Newtoninstitutesanewpolicyrequiringtheproratadistributionofnewsecurityissuestoallestablisheddiscretionaryaccountsforwhichthenewissuesareappropriate.Thepolicyalsoprovidesfortheexclusionofnewlyestablisheddiscretionaryaccountsfromthedistributionuntiltheyhavereachedtheirone-monthanniversarydate.Thispolicyisdisclosedtoallexistingandpotentialclients.DidNewtonmostlikelyviolateanyCFAInstituteStandardsofProfessionalConduct?A.No,becausethepolicyhasbeenadequatelydisclosedtoallexistingandpotentialclientsB.No,becausetheallocationpolicyisnotinequitableunderthestandardsC.Yes2.IanO'Sullivan,CFA,istheownerandsoleemployeeoftwocompanies,apublicrelationsfirmandafinancialresearchfirm.ThepublicrelationsfirmenteredintoacontractwithMalloryEnterprisestoprovidepublicrelationsservices,withO'Sullivanreceiving40,000sharesofMallorystockinpaymentforhisservi...
