Exhibit 25 -Refer to Exhibit 25

question 43

Multiple Choice

Exhibit 25.8
Use the Information Below for the Following Problem(S)
$$\begin{array}{l}\text { Weights }\\\begin{array} { l l } \text { Palic } & \text { Actural } \\\hline 50 \% \text { stacks } & 60 \% \text { stacks } \\50 \% \text { bands } & 4 [ 1 / \text { bands } \\\text { Returns } & \\\text { Index } & \text { Actural } \\\hline \text { 98 stocks } & 9 \% \text { stocks } \\5 \% \text { bonds } & 7 \% \text { bonds }\end{array}\end{array}$$
-Refer to Exhibit 25.8.Which of the following statements is true?

• A) The portfolio manager earned an extra 0.3% because of a shift in allocation out of bonds and into stocks.
• B) The portfolio manager earned an extra 0.3% because of a shift in allocation out of stocks and into bonds.
• C) The portfolio manager earned an extra 6.5% because of a shift in allocation out of bonds and into stocks.
• D) The portfolio manager earned an extra 6.5% because of a shift in allocation out of stocks and into bonds.
• E) None of the above is a true statement.

---

Definitions:

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time, providing a snapshot of the company's financial condition.

Income Statement

A financial document summarizing a company's revenues, expenses, and profits over a specific period, usually a quarter or year.

Net Cash Provided

A financial metric that represents the amount of cash generated by a company's operating activities.

Indirect Method

A cash flow statement approach that starts with net income and adjusts for changes in balance sheet accounts to calculate the cash from operating activities.