data = [ { "question" : "1. Bonus shares are", "feedback" : "All shareholders are entitled to bonus shares. Bonus shares are available to employees who also happen to be shareholders of the company, and attending an Annual General Meeting is not a requirement to be eligible to a bonus issue.", "correctAnswer" : "1", "answers": [{ "optionId" : 1, "optionText" : "Free to existing shareholders" }, { "optionId" : 2, "optionText" : "Available to employees of the company only" }, { "optionId" : 3, "optionText" : "Available to shareholders at a discounted rate" }, { "optionId" : 4, "optionText" : "Given only to shareholders who attend the AGM" }] }, { "question" : "2. A company wants to expand and has a rights issue at a pro-rata basis of 1 for 5 in order to raise funds. Sophie is content with her 1,000 shares in this company but is looking for money to invest elsewhere. It would most suit Sophie if the rights issue was", "feedback" : "If the rights issue was renounceable, Sophie would be able to sell her rights to other investors on the sharemarket. If the rights issue was non-renounceable, Sophie would have to take up the shares or forfeit her rights. Whether the shares are convertible or non-convertible is not relevant in this situation.", "correctAnswer" : "3", "answers": [{ "optionId" : 1, "optionText" : "Convertible" }, { "optionId" : 2, "optionText" : "Non-Convertible" }, { "optionId" : 3, "optionText" : "Renounceable" }, { "optionId" : 4, "optionText" : "Non-Renounceable" }] }, { "question" : "3. One feature of preference shares is that they", "feedback" : "Ordinary shares are the most common category of shares traded on ASX. Preference shares are also issued by companies and have different features than ordinary shares. These features include being entitled to a preferred dividend paid before the ordinary share dividend is announced. The preference share dividend is often paid at a fixed rate. Preference shares also have priority over ordinary shareholders for repayment of capital if the company is wound up.", "correctAnswer" : "4", "answers": [{ "optionId" : 1, "optionText" : "Reflect improved value of the company's assets" }, { "optionId" : 2, "optionText" : "Are easier to trade because of their 'preferred' basis" }, { "optionId" : 3, "optionText" : "Require certain future payments at certain future dates" }, { "optionId" : 4, "optionText" : "Are entitled to dividend payments before ordinary shares" }] }, { "question" : "4. As a result of a 1 for 10 bonus issue, Tony now has an additional 100 shares in U-Beaut Ltd. The value of his U-Beaut Ltd shares are now worth ", "feedback" : "While bonus issues mean a greater number of shares are held by investors, the total value of the company does not change. Essentially the same value is now spread across a greater number of shares. A bonus issue can dilute the value of an individual share however this is compensated by a shareholder's increased holding.", "correctAnswer" : "4", "answers": [{ "optionId" : 1, "optionText" : "Significantly less than the issue" }, { "optionId" : 2, "optionText" : "Ten times as much as before the issue" }, { "optionId" : 3, "optionText" : "Significantly more than before the issue" }, { "optionId" : 4, "optionText" : "Probably about the same as before the issue" }] },{ "question" : "5. Why is it important to regularly review your share portfolio? ", "feedback" : "You need to review your portfolio regularly to ensure your investment goals are being met. To maximise your investment potential, you will want to be proactive rather than being forced to react to market trends. Speculative stocks will need to be monitored more frequently than blue chip stocks, but even the latter need regular review to ensure they are serving the purpose for which you bought them.", "correctAnswer" : "2", "answers": [{ "optionId" : 1, "optionText" : "Because account keeping fees are charged on dormant accounts" }, { "optionId" : 2, "optionText" : "To determine whether your investment goals are being met" }, { "optionId" : 3, "optionText" : "Because you need to apply specific rules to each investment" }, { "optionId" : 4, "optionText" : "To determine the type of advice you are receiving" }] },{ "question" : "6. If your broker suggests 're-weighting your portfolio', this generally means returning to the original percentage allocation of funds you had in each sector when first invested.", "feedback" : "It is worthwhile regularly reviewing the balance of your portfolio. If, for example you had originally bought five stocks evenly spread across five different industry sectors you may discover that one has done extremely well and another has dropped back somewhat. The practice of re-weighting involves selling some of your profitable shares and buying others in the lighter sector to return the original balance.", "correctAnswer" : "1", "answers": [{ "optionId" : 1, "optionText" : "TRUE" }, { "optionId" : 2, "optionText" : "FALSE" }] }, { "question" : "7. When compiling information for your tax return, you should collect information on income streams such as dividends and interest payments as well as any potential capital gain or loss events.", "feedback" : "There are two broad areas your share holdings will fall into when completing your tax return. Firstly reviewing potential income tax requirements arising from dividends, capital returns, and interest payments. Secondly potential capital gains events arising from a disposal of a shareholding.", "correctAnswer" : "1", "answers": [{ "optionId" : 1, "optionText" : "TRUE" }, { "optionId" : 2, "optionText" : "FALSE" }] },{ "question" : "8. Generally, records will need to be kept for how many years following disposal of a shareholding? ", "feedback" : "Care should be taken to ensure that the correct record keeping period is identified, for example, records relating to capital purchases will generally be required to be kept from the date of purchase until 5 years after the capital gains tax event (such as a disposal) has occurred.", "correctAnswer" : "2", "answers": [{ "optionId" : 1, "optionText" : " 6 months" }, { "optionId" : 2, "optionText" : "5 years" }, { "optionId" : 3, "optionText" : "15 years" }, { "optionId" : 4, "optionText" : "Records do not need to be kept" }] }, { "question" : "9. While the share price tables in the newspaper provide a useful summary of company information, they are limited because?", "feedback" : "The share price tables in the business section of the newspaper provide an excellent summary of key information on a company. They generally show the previous day's closing price, price range, upcoming dividends, yield and PE ratio. The detail will vary depending on the newspaper. By its nature this information is always going to be dated and does not provide an investor with other important elements to the company's story, such as management experience, recent business developments and what their competitors are doing.", "correctAnswer" : "4", "answers": [{ "optionId" : 1, "optionText" : "They only show PE ratio and dividend yield" }, { "optionId" : 2, "optionText" : "Newspapers do not sort the companies into a logical order" }, { "optionId" : 3, "optionText" : "The opinion of the newspaper editor needs to be taken into account when interpreting the figures" }, { "optionId" : 4, "optionText" : "Their price information is historical and the data only represents part of the company story" }] },{ "question" : "10. What document are these crucial information sources found in: Director's report, company financial tables, corporate governance report, and largest shareholders table?", "feedback" : "The annual report should be an essential read for all current and potential shareholders to a company. It contains key information on the current and expected future health a company.", "correctAnswer" : "3", "answers": [{ "optionId" : 1, "optionText" : "Prospectus" }, { "optionId" : 2, "optionText" : "Trust deed" }, { "optionId" : 3, "optionText" : "Annual report" }, { "optionId" : 4, "optionText" : "Disclosure Document" }] } ];