McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Commerce (B Com) , Bachelor of Business Administration in Finance (BBA Finance) , Union Public Service Commission (UPSC) .
| 251. |
A nation consists of ————— economic units. |
| A. | 5 |
| B. | 4 |
| C. | 3 |
| D. | 2 |
| Answer» C. 3 | |
| 252. |
————— functions as an intermediary between savers and investors. |
| A. | economic system |
| B. | financial system |
| C. | monetary system |
| D. | barter system |
| Answer» B. financial system | |
| 253. |
Financial markets are markets that deal in ————— assets and credit instruments. |
| A. | fixed assets |
| B. | financial assets |
| C. | current assets |
| D. | all of these |
| Answer» B. financial assets | |
| 254. |
————— represent claims for the payment of a sum of money sometimes in the future and/or a periodic payment in the form of interest or dividend. |
| A. | physical asset |
| B. | fixed asset |
| C. | financial asset |
| D. | none of these |
| Answer» C. financial asset | |
| 255. |
RBI started functioning on —————. |
| A. | 1-4-1935 |
| B. | 1-4-1948 |
| C. | 1-4-1882 |
| D. | 1-4-1945 |
| Answer» A. 1-4-1935 | |
| 256. |
————— has the statutory powers to regulate and promote the Indian capital market. |
| A. | Registrar of issue |
| B. | Merchant banks |
| C. | SEBI |
| D. | RBI |
| Answer» C. SEBI | |
| 257. |
Any company making a public issue of value of more than Rs. ———— is required to file a draft offer document with SEBI. |
| A. | 100 lakh |
| B. | 25 lakh |
| C. | 50 lakh |
| D. | 10 lakh |
| Answer» C. 50 lakh | |
| 258. |
————— Committee was constituted by SEBI for deciding about derivatives trading. |
| A. | L.C.Gupta |
| B. | R. L. Gupta |
| C. | Vaghul |
| D. | Malhotra |
| Answer» A. L.C.Gupta | |
| 259. |
…………………… facilitate the transfer of funds from savers to the borrowers. |
| A. | goods market |
| B. | money market |
| C. | financial market |
| D. | consumer market |
| Answer» C. financial market | |
| 260. |
Which of the following is a financial asset |
| A. | gold |
| B. | silver |
| C. | share |
| D. | Land |
| Answer» C. share | |
| 261. |
................... are drawn by contractors on the Govt. departments for the goods supplied to them |
| A. | treasury bills |
| B. | supply bill |
| C. | bill of lading |
| D. | documentary bill |
| Answer» B. supply bill | |
| 262. |
..................... are an important instrument of short term borrowing by the Govt. |
| A. | National saving certificate |
| B. | Bonds |
| C. | Treasury bill |
| D. | Any of the above |
| Answer» C. Treasury bill | |
| 263. |
..................... are short term deposits of specific maturity similar to fixed deposits. |
| A. | commercial paper |
| B. | interbank participation certificate |
| C. | Repo |
| D. | Certificate of deposit |
| Answer» D. Certificate of deposit | |
| 264. |
..................... is an unsecured short term promissory note issued by creditworthy companies? |
| A. | commercial paper |
| B. | interbank participation certificate |
| C. | Repo |
| D. | Certificate of deposit |
| Answer» A. commercial paper | |
| 265. |
Discount and Finance House of India was set up in pursuance of the recommendations of .....................Committee |
| A. | Malegam |
| B. | Malhotra |
| C. | Vaghul |
| D. | Narasimham |
| Answer» C. Vaghul | |
| 266. |
..................... has been set up mainly to provide a secondary market in Govt. Securities |
| A. | DHFI |
| B. | OTCEI |
| C. | STCI |
| D. | NSDL |
| Answer» C. STCI | |
| 267. |
Right shares are offered to..................... |
| A. | Debenture holders |
| B. | Existing shareholders |
| C. | List 2 contributories |
| D. | Liquidators |
| Answer» B. Existing shareholders | |
| 268. |
..................... is a process of admitting securities for trading on a recognised stock exchange. |
| A. | registration |
| B. | filing |
| C. | listing |
| D. | admission |
| Answer» C. listing | |
| 269. |
..................... is a preferential independent broker who deals in securities on his own behalf. |
| A. | Jobber |
| B. | sub broker |
| C. | Remisiers |
| D. | Arbitragers |
| Answer» A. Jobber | |
| 270. |
The facility to carry forward a transaction from one settlement period to another is known as ..................... transaction |
| A. | Badla |
| B. | arbitrage |
| C. | cornering |
| D. | trading inside |
| Answer» A. Badla | |
| 271. |
The device adopted to make profit out of the differences in prices of a security in to different markets is called..................... |
| A. | cornering |
| B. | prise rigging |
| C. | arbitrage |
| D. | margin trading |
| Answer» C. arbitrage | |
| 272. |
The central depositary ..................... the security on behalf of the investors |
| A. | hold |
| B. | transfer |
| C. | both a & b above |
| D. | none of these |
| Answer» C. both a & b above | |
| 273. |
........................ is an apex institution to coordinate, supplement and integrate the activities of all existing specialised financial institutions. |
| A. | IFCI |
| B. | IDBI |
| C. | RBI |
| D. | SEBI |
| Answer» B. IDBI | |
| 274. |
ICICI was set up in ........................ |
| A. | 1955 |
| B. | 1964 |
| C. | 1989 |
| D. | 1935 |
| Answer» A. 1955 | |
| 275. |
........................ assists mainly to industrial undertakings in the private sector |
| A. | IFCI |
| B. | IDBI |
| C. | ICICI |
| D. | SEBI |
| Answer» C. ICICI | |
| 276. |
LIC was established in........................ |
| A. | 1956 |
| B. | 1964 |
| C. | 1989 |
| D. | 1935 |
| Answer» A. 1956 | |
| 277. |
The process of managing the sales ledger of a client by a financial service company is called |
| A. | forfaiting |
| B. | factoring |
| C. | leasing |
| D. | None of these. |
| Answer» B. factoring | |
| 278. |
In India, the company which actually deals with the corpus of the mutual fund is called |
| A. | sponsor company |
| B. | trustee company |
| C. | asset management company |
| D. | Mutual fund Company. |
| Answer» C. asset management company | |
| 279. |
........... is a product whose value is derived from the value of underlying asset |
| A. | Repo |
| B. | T-bills |
| C. | G.sec |
| D. | Derivatives |
| Answer» D. Derivatives | |
| 280. |
--------------is also known as “G.Secs” |
| A. | Gold Traded Fund (GTF) |
| B. | General Securities |
| C. | Govt. Securities |
| D. | Growth oriented fund |
| Answer» C. Govt. Securities | |
| 281. |
................ bonds permit the bond holder to invest the interest income again in host bonds |
| A. | Deep discount bond |
| B. | Junk bonds |
| C. | Bearer bond |
| D. | Bunny bonds |
| Answer» D. Bunny bonds | |
| 282. |
What you mean by “STRIPS” |
| A. | Separate Trade Register of Initial Public Securities offer |
| B. | Stock Trading Register of Interest and Principal Securities |
| C. | Separate Trading of Registered Interest and Principal of Securities |
| D. | Share Transfer and Registrar of Indian Public Securities issues |
| Answer» C. Separate Trading of Registered Interest and Principal of Securities | |
| 283. |
The idea of providing factoring services in India was first thought by —— |
| A. | Vaghul committee |
| B. | Malhotra Committee |
| C. | Tanden Committee |
| D. | None of these |
| Answer» A. Vaghul committee | |
| 284. |
---------- bills are drawn by contractors on the government departments for the goods supplied by them. |
| A. | Usance bills |
| B. | T-bills |
| C. | Clean bills |
| D. | Supply bills |
| Answer» D. Supply bills | |
| 285. |
The market which helps commercial banks to maintain their SLR requirement is |
| A. | Call loan market |
| B. | T-bills market |
| C. | Acceptance market |
| D. | Commercial bill market |
| Answer» A. Call loan market | |
| 286. |
The certificate which evidences an unsecured corporate debt of short term maturity |
| A. | Certificate of Deposit |
| B. | Commercial paper |
| C. | Secured Premium Notes |
| D. | Interbank participation Certificate |
| Answer» B. Commercial paper | |
| 287. |
-------- is a permission to quote securities officially on the trading floor of stock exchange |
| A. | Origination |
| B. | Underwriting |
| C. | Distribution |
| D. | Listing |
| Answer» D. Listing | |
| 288. |
The facility to carry forward a transaction from one settlement period to another is called --------- transaction |
| A. | Hand delivery |
| B. | Badla |
| C. | Cornering |
| D. | Arbitrage |
| Answer» B. Badla | |
| 289. |
The device adopted to make profit out of price differences in two different markets |
| A. | Cornering |
| B. | Wash sales |
| C. | Rigging |
| D. | Arbitrage |
| Answer» D. Arbitrage | |
| 290. |
A person appointed by a stock broker to assist to him in the business of securities trading at trading floor of stock exchanges is |
| A. | Sub-broker |
| B. | Commission broker |
| C. | Authorised clerk |
| D. | Remisiers |
| Answer» C. Authorised clerk | |
| 291. |
Speculator who neither buy nor sell securities in the market, but still trade on them are called |
| A. | Wolves |
| B. | Stag |
| C. | Bull |
| D. | Bear |
| Answer» B. Stag | |
| 292. |
The process of holding the entire supply of a particular security with a view to dictating terms is called |
| A. | Cornering |
| B. | Wash sales |
| C. | Rigging |
| D. | Arbitrage |
| Answer» A. Cornering | |
| 293. |
When purchases of securities are more than sales of securities, the market is called |
| A. | Bullish |
| B. | Bearish |
| C. | Grey |
| D. | Odd |
| Answer» A. Bullish | |
| 294. |
When sales of securities are more than purchases of securities, the market is called |
| A. | Bullish |
| B. | Bearish |
| C. | Grey |
| D. | Odd |
| Answer» B. Bearish | |
| 295. |
--------- is the charges paid by a bull speculator to the other party for obtaining carry over facility |
| A. | Backwardation |
| B. | Contango |
| C. | Spread |
| D. | Margin |
| Answer» B. Contango | |
| 296. |
--------- is the amount paid by bear to facilitate him to renew a bargain until next settlement date |
| A. | Backwardation |
| B. | Contango |
| C. | Spread |
| D. | Margin |
| Answer» A. Backwardation | |
| 297. |
Those who provides finance for carry forward transactions in securities is called |
| A. | Tharawaniwalas |
| B. | Tejiwalas |
| C. | Mandiwalas |
| D. | Badliwalas |
| Answer» B. Tejiwalas | |
| 298. |
The speculator who observes very fast the trends and changes in market is |
| A. | Bull |
| B. | Bear |
| C. | Stag |
| D. | Wolves |
| Answer» D. Wolves | |
| 299. |
------is the bear speculator who struggling to complete his commitments because of wrong foot |
| A. | Bull |
| B. | Lame duck |
| C. | Stag |
| D. | Wolves |
| Answer» B. Lame duck | |
| 300. |
An option (right) to purchase shares in future at predetermined price is called |
| A. | Hedging |
| B. | Put option |
| C. | Push option |
| D. | Call option |
| Answer» D. Call option | |
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