Section B (2 Mark)
Suppose that Chicken Express, Inc. has a ROA of 7% and pays a 6% coupon on its debt. Chicken Express has a capital structure that is 70% equity and 30% debt. Relative to a firm that is 100% equity-financed, Chicken Express's Net Profit will be ________ and its ROE will be ________.

Section A (1 Mark)
In marine insurance claims, insurable interest must shown to exist at the time of

Section A (1 Mark)
Loss of a closely held company cannot be carried and set off unless on the last day of the previous year in which the loss was incurred and as on the last day of the previous year in which such loss is set off, at least:

Section B (2 Mark)
If a portfolio manager has a good ability to forecast overall market but a poor ability to select undervalued securities, the following strategy would suit best to him.

Section B (2 Mark)
The feature of the APT that offers the greatest potential advantage over the CAPM is the ______________.