1. Securtiy analysis is typically conducted with an eye toward identifying mispriced securities in the hopes of generating returns that more than adequately compensate the investor for risks being taken.
True False
2. The final product of security analysis is a recommendation to buy, sell or hold the stock of a particular company.
True False
3. Predicting the likelihood that a company could face financial distress is not part of the typical credit analysis process.
True False
4. Firms with a high concentration of intangible assets is less likely to be highly leveraged that firms whose assets are mostly tangible in nature.
True False