PORTFOLIO MANAGEMENT

A. ESSAYS 1. Expound on the principle that money precedes stock market changes and vice versa. How does it affect the GDP and bond prices and stock prices? How does fiscal policy affect the GDP? 2. Describe the economic indicators and consumer optimism and the forecast of the GDP. 3. a) Discuss risk and return for the same industry and for different industries. b) Explain how the business cycle affect diverse industries differently. 4. Explicate the manipulation of EPS and of the balance sheet methods by talking about five variables (Include revenue and expense recognition.) 5.Elaborate on the following factors affecting profit margin. a. Inflation b. unit labor costs c. capacity utilization rate 6.Give an example and compare and contrast arithmetic mean, geometric mean and unbiased weighted mean.