McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Business Administration (BBA) , Bachelor of Commerce in Finance (B.Com Finance) .
Chapters
| 251. |
------ bonds are issued at a large discount to their nominal value. |
| A. | Option bond |
| B. | Index-linked guilt bond |
| C. | Variable rate bond |
| D. | Deep discount bond |
| Answer» D. Deep discount bond | |
| 252. |
------- is referred as both fund based and fee based financial service. |
| A. | Hire purchase |
| B. | Leasing |
| C. | Factoring |
| D. | Underwriting |
| Answer» D. Underwriting | |
| 253. |
Direct sale of securities to investors is called.......... |
| A. | Public offer |
| B. | Private placement |
| C. | FPO |
| D. | IPO |
| Answer» B. Private placement | |
| 254. |
Hire Purchase Act passed in the year |
| A. | 1969 |
| B. | 1982 |
| C. | 1972 |
| D. | 1976 |
| Answer» C. 1972 | |
| 255. |
............... supplies machinery to small scale industries under hire purchase system. |
| A. | IDBI |
| B. | SIDMI |
| C. | NSIC |
| D. | DIC |
| Answer» C. NSIC | |
| 256. |
In India, Banks are permitted to carry on Hire purchase business |
| A. | Directly |
| B. | Through its Departments |
| C. | Through subsidiary |
| D. | Any of the above |
| Answer» C. Through subsidiary | |
| 257. |
In hire purchase, till the payment of last instalment, amount paid by hirer is treated as |
| A. | Rent |
| B. | interest |
| C. | cash price |
| D. | all of these |
| Answer» A. Rent | |
| 258. |
With -------- we rent and with .......... we buy the goods. |
| A. | Hire purchase, leasing |
| B. | Leasing, hire purchase |
| C. | Hire purchase, instalment |
| D. | Hire purchase, Credit sale |
| Answer» B. Leasing, hire purchase | |
| 259. |
In.............., lessor fulfils financing function |
| A. | Operating lease |
| B. | Swap lease |
| C. | Financial lease |
| D. | Balloon lease |
| Answer» C. Financial lease | |
| 260. |
In................., Lessor fulfils servicing function |
| A. | Operating lease |
| B. | Swap lease |
| C. | Financial lease |
| D. | Balloon lease |
| Answer» A. Operating lease | |
| 261. |
Credit card facility is a better example of |
| A. | Revolving credit |
| B. | Cash loan |
| C. | Secured credit |
| D. | Fixed credit |
| Answer» A. Revolving credit | |
| 262. |
............... card provides communication security |
| A. | Charge card |
| B. | Smart card |
| C. | Debit card |
| D. | Credit card |
| Answer» C. Debit card | |
| 263. |
--------- is pay later product |
| A. | Debit card |
| B. | Credit card |
| C. | Both a & b |
| D. | None of these |
| Answer» B. Credit card | |
| 264. |
---------- is pay now product |
| A. | Debit card |
| B. | Credit card |
| C. | Both a & b |
| D. | None of these |
| Answer» A. Debit card | |
| 265. |
ATM stands for |
| A. | Automatic Teller Machine |
| B. | Any Time Money |
| C. | Automated Teller machine |
| D. | All Time Machine |
| Answer» C. Automated Teller machine | |
| 266. |
Andhra bank and Central bank of India introduced credit card in India in |
| A. | 1991 |
| B. | 1981 |
| C. | 1984 |
| D. | 1990 |
| Answer» B. 1981 | |
| 267. |
“India Card” was introduced by |
| A. | Central Bank of India |
| B. | Bank of India |
| C. | Indian Overseas bank |
| D. | SBI |
| Answer» B. Bank of India | |
| 268. |
Full service factoring is often |
| A. | Recourse factoring |
| B. | Non-recourse factoring |
| C. | Agency factoring |
| D. | None of these |
| Answer» A. Recourse factoring | |
| 269. |
Disclosed factoring is also known as |
| A. | Recourse factoring |
| B. | Non-recourse factoring |
| C. | Agency factoring |
| D. | Notified factoring |
| Answer» D. Notified factoring | |
| 270. |
Maturity factoring is also known as |
| A. | Maturity factoring |
| B. | Disclosed factoring |
| C. | Agency factoring |
| D. | Notified factoring |
| Answer» A. Maturity factoring | |
| 271. |
“Confidential invoice discounting” is another name of |
| A. | Maturity factoring |
| B. | Disclosed factoring |
| C. | Undisclosed factoring |
| D. | Notified factoring |
| Answer» C. Undisclosed factoring | |
| 272. |
Re-Factoring fee is applicable in case of |
| A. | With recourse factoring |
| B. | Disclosed factoring |
| C. | Agency factoring |
| D. | Notified factoring |
| Answer» A. With recourse factoring | |
| 273. |
.............. Is an “invoice based export finance” technique. |
| A. | International factoring |
| B. | Disclosed factoring |
| C. | Agency factoring |
| D. | Notified factoring |
| Answer» A. International factoring | |
| 274. |
“EDI” in EDIFACTORING stands for |
| A. | Economic Deposit insurance |
| B. | Electronic Data interchange |
| C. | Export Division insurance |
| D. | None of these |
| Answer» B. Electronic Data interchange | |
| 275. |
In ............... lease, leasing company assumes risk of obsolescence. |
| A. | Financial lease |
| B. | Operating lease |
| C. | Leverage lease |
| D. | Cross boarder lease |
| Answer» B. Operating lease | |
| 276. |
---------- lease contracts are usually non cancellable. |
| A. | Financial lease |
| B. | Operating lease |
| C. | Leverage lease |
| D. | Cross boarder lease |
| Answer» A. Financial lease | |
| 277. |
Financial lease introduced in India by................... |
| A. | Tata group |
| B. | Reliance group |
| C. | Chidambaram group |
| D. | Murugappa group |
| Answer» C. Chidambaram group | |
| 278. |
Rental loans are given to |
| A. | Tenant |
| B. | Owner of the building |
| C. | Hirer of the cars |
| D. | Any of the above |
| Answer» B. Owner of the building | |
| 279. |
Loans for pensioners are given up to ------- months of pension amount. |
| A. | 12 |
| B. | 36 |
| C. | 24 |
| D. | 6 |
| Answer» D. 6 | |
| 280. |
Consumer loans are granted for |
| A. | Long period |
| B. | Medium period |
| C. | Short period |
| D. | Any of the above |
| Answer» C. Short period | |
| 281. |
Retail banking is confined to ............... customers |
| A. | Corporate |
| B. | Firm |
| C. | Individual |
| D. | Individual and corporate |
| Answer» C. Individual | |
| 282. |
Housing advances are ................. in nature |
| A. | Short term |
| B. | Medium term |
| C. | Long term |
| D. | Any of the above |
| Answer» C. Long term | |
| 283. |
In the private sector, ------------ plays a dominant role in housing finance. |
| A. | ICICI |
| B. | HDFC |
| C. | DHFL |
| D. | LICHFL |
| Answer» B. HDFC | |
| 284. |
Canara bank’s housing finance subsidiary is.......... |
| A. | Can HFL |
| B. | CHFL |
| C. | Can Fin Homes ltd |
| D. | CBHFL |
| Answer» C. Can Fin Homes ltd | |
| 285. |
Housing loan up To Rs................... is considered as priority sector advance. |
| A. | 5 lakh |
| B. | 25 lakh |
| C. | 10 lakh |
| D. | 15 lakh |
| Answer» C. 10 lakh | |
| 286. |
Apex institution set up to deal in housing finance is |
| A. | HDFC |
| B. | NHB |
| C. | HUDCO |
| D. | None of these |
| Answer» B. NHB | |
| 287. |
Institution which gives thrust to urban infrastructure development is |
| A. | HDFC |
| B. | NHB |
| C. | HUDCO |
| D. | DHFL |
| Answer» C. HUDCO | |
| 288. |
Education loan is maximum Rs........... for study in India |
| A. | 5 lakh |
| B. | 7.5 lakh |
| C. | 10 lakh |
| D. | 15 lakh |
| Answer» B. 7.5 lakh | |
| 289. |
No security is insisted upon .................loan |
| A. | Housing |
| B. | Education |
| C. | Vehicle |
| D. | Personal |
| Answer» B. Education | |
| 290. |
Which of the following is/are types of consumer credit? |
| A. | Revolving credit |
| B. | Unsecured credit |
| C. | Secured credit |
| D. | All the above |
| Answer» D. All the above | |
| 291. |
The difference between open-end and closed-end mutual funds is: |
| A. | The total number of shares under management grows and shrinks for open-end funds, but is fixed for closed-end funds |
| B. | Open-end funds can be purchase in a variety of international markets while closed- end funds can only be purchased in their home market |
| C. | The total number of shares under management grows and shrinks for closed-end funds, but is fixed for open-end funds |
| D. | Open-end funds contain securities from various countries while closed-end funds |
| Answer» C. The total number of shares under management grows and shrinks for closed-end funds, but is fixed for open-end funds | |
| 292. |
The material wealth of a society is equal to the sum of _________. |
| A. | All financial assets |
| B. | All real assets |
| C. | All financial and real assets |
| D. | All physical assets |
| Answer» B. All real assets | |
| 293. |
_______ are financial assets |
| A. | Bonds. |
| B. | Machines |
| C. | Stocks. |
| D. | A and C. |
| Answer» A. Bonds. | |
| 294. |
_______ are examples of financial intermediaries |
| A. | Commercial banks |
| B. | Insurance companies |
| C. | Investment companies |
| D. | All of the above. |
| Answer» D. All of the above. | |
| 295. |
Financial intermediaries exist because small investors cannot efficiently ________. |
| A. | Diversify their portfolios |
| B. | Gather all relevant information |
| C. | Assess credit risk of borrowers |
| D. | All of the above |
| Answer» D. All of the above | |
| 296. |
Firms that specialize in helping companies raise capital by selling securities are called--- |
| A. | Commercial banks |
| B. | Merchant banks |
| C. | Savings banks |
| D. | Credit unions |
| Answer» B. Merchant banks | |
| 297. |
Financial assets ______. |
| A. | Directly contribute to the country's productive capacity |
| B. | Indirectly contribute to the country's productive capacity |
| C. | Contribute to the country's productive capacity both directly and indirectly. |
| D. | Do not contribute to the country's productive capacity either directly or indirectly. |
| Answer» B. Indirectly contribute to the country's productive capacity | |
| 298. |
The sale of a mortgage portfolio by setting up mortgage pass-through securities is an example of ________. |
| A. | Credit enhancement |
| B. | Securitization. |
| C. | Unbundling |
| D. | Derivatives. |
| Answer» B. Securitization. | |
| 299. |
Merchant bankers perform the following role(s) ___________. |
| A. | Market new stock and bond issues for firms. |
| B. | Provide advice to the firms as to market conditions, price, etc. |
| C. | Provide consultancy services for expansion etc |
| D. | All of the above |
| Answer» D. All of the above | |
| 300. |
The means by which individuals hold their claims on real assets in a well-developed economy are ___________. |
| A. | Investment assets |
| B. | Depository assets |
| C. | Derivative assets |
| D. | Financial assets |
| Answer» D. Financial assets | |
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