MCQOPTIONS
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MCQOPTIONS
This section includes 64577 Mcqs, each offering curated multiple-choice questions to sharpen your General Knowledge knowledge and support exam preparation. Choose a topic below to get started.
| 4551. |
The conversion values is $8500 USD and the conversion rate received on stock conversion is 430 then current market price of stock is |
| A. | $15.24 |
| B. | $13.24 |
| C. | $20.24 |
| D. | $19.24 |
| Answer» D. $19.24 | |
| 4552. |
The bonds that are backed by cashflow from project and are sold to finance particular project are classified as |
| A. | finance bonds |
| B. | revenue bonds |
| C. | financing bonds |
| D. | project bonds |
| Answer» C. financing bonds | |
| 4553. |
Besides the equity related bonds, the type of eurobonds that are convertible are classified as |
| A. | bonds with interbank rate |
| B. | bonds with intra market rate |
| C. | bonds with equity warrants |
| D. | bonds with common stock |
| Answer» D. bonds with common stock | |
| 4554. |
The call premium is $456 USD and the face value of the bond is $234 USD then the call price of bonds is |
| A. | $1.95 |
| B. | 0.0195 |
| C. | $222 |
| D. | $690 |
| Answer» E. | |
| 4555. |
IN negotiated sale, the services provided by the investment banks are |
| A. | origination services |
| B. | document collection services |
| C. | advising services |
| D. | both a and c |
| Answer» E. | |
| 4556. |
Considering the bonds characteristics, the corporate and treasury bonds have many |
| A. | different characteristics |
| B. | similar characteristics |
| C. | nearer characteristics |
| D. | bearer characteristics |
| Answer» B. similar characteristics | |
| 4557. |
In firm commitment underwriting, the securities issued are then sold to investors at relatively |
| A. | higher price |
| B. | lower price |
| C. | indexed price |
| D. | commercial price |
| Answer» B. lower price | |
| 4558. |
The bonds that can be exchanged with the other stock issued by the same firm are classified as |
| A. | discount convertible bonds |
| B. | convertible bonds |
| C. | non convertible bonds |
| D. | premium convertible bonds |
| Answer» C. non convertible bonds | |
| 4559. |
The value of option issued to call debt is subtracted from rate of return on callable bond to calculate rate of return on |
| A. | contributed bonds |
| B. | non callable bonds |
| C. | callable bonds |
| D. | discounted bonds |
| Answer» C. callable bonds | |
| 4560. |
The current market price of common stock is $12 USD and the conversion rate received on conversion is $225 USD to calculate |
| A. | $18.75 |
| B. | $2,700 |
| C. | $237 |
| D. | $450 |
| Answer» C. $237 | |
| 4561. |
When characteristics of bonds are perceived as unfavorable or favorable to the holders of bond then differences of yield spread |
| A. | must not changes |
| B. | must changes |
| C. | must be debited |
| D. | must be credited |
| Answer» C. must be debited | |
| 4562. |
If the trading of municipal bonds is infrequent, then secondary market is considered as |
| A. | thin markets |
| B. | thick markets |
| C. | higher underwriting |
| D. | lower underwriting |
| Answer» B. thick markets | |
| 4563. |
The value of conversion option to bond holder is $220 USD and the rate of return on non convertible bond is $350 USD then rate of return on convertible bond is |
| A. | $570 |
| B. | $130 |
| C. | $670 |
| D. | $1.59 |
| Answer» C. $670 | |
| 4564. |
The securities with the lower default risk and having highest credit quality are assigned the rating of |
| A. | double B |
| B. | triple B |
| C. | triple A |
| D. | double A |
| Answer» D. double A | |
| 4565. |
As compared to publicly placed issues, the privately placed bonds are issued for |
| A. | lower paid interest rates |
| B. | higher paid interest rates |
| C. | registered interest rates |
| D. | unregistered interest rates |
| Answer» C. registered interest rates | |
| 4566. |
The source of funds for the repayment of municipal bonds is considered as |
| A. | local tax and revenue |
| B. | global tax and revenue |
| C. | print notes |
| D. | commercial notes |
| Answer» B. global tax and revenue | |
| 4567. |
In best efforts offering, the price offered by investment banks is originally set by |
| A. | municipality |
| B. | insurance companies |
| C. | negotiable transactions |
| D. | global placement |
| Answer» B. insurance companies | |
| 4568. |
In financial markets, the bond indenture results in |
| A. | lower federal rate |
| B. | higher federal rate |
| C. | higher risk |
| D. | lower risk |
| Answer» E. | |
| 4569. |
The longer debt instrument issued by government and corporations is considered as |
| A. | contraction bonds |
| B. | expansion bonds |
| C. | dollar bonds |
| D. | bonds |
| Answer» E. | |
| 4570. |
The type of bonds issued by the governments outside the home country of issuer of bond are classified as |
| A. | outside bonds |
| B. | foreign bonds |
| C. | issuing country bonds |
| D. | denominated bonds |
| Answer» C. issuing country bonds | |
| 4571. |
The type of bonds in which the whole issues matures on a single date is considered as |
| A. | term bonds |
| B. | under bonds |
| C. | collateral bonds |
| D. | trustworthy bonds |
| Answer» B. under bonds | |
| 4572. |
Considering the ratings, the bonds that have lowest spread of interest as compared to similar maturity in Treasury Securities are classified as |
| A. | triple B rating bonds |
| B. | triple A rating bonds |
| C. | double A rating bonds |
| D. | double A rating bonds |
| Answer» C. double A rating bonds | |
| 4573. |
The banks, mutual funds and insurance companies are considered as |
| A. | major suppliers |
| B. | major investors |
| C. | major portfolio holders |
| D. | major rates decider |
| Answer» B. major investors | |
| 4574. |
The debt which depict the historical accumulated record of federal government expenditures is classified as |
| A. | national debt |
| B. | international debt |
| C. | global debt |
| D. | contraction debt |
| Answer» B. international debt | |
| 4575. |
The exchange markets and over the counter markets are considered as two types of |
| A. | floating market |
| B. | riskier market |
| C. | secondary market |
| D. | primary market |
| Answer» D. primary market | |
| 4576. |
The issues sold by investment banks and guarantees the issuer by buying new issue at fixed price is classified as |
| A. | index commitment underwriting |
| B. | insurance underwriting |
| C. | default risk underwriting |
| D. | firm commitment underwriting |
| Answer» E. | |
| 4577. |
According to best efforts offering, the investment bank in return of providing services must |
| A. | not receive fee |
| B. | receive fee |
| C. | receive interest rate |
| D. | receive market rate of return |
| Answer» C. receive interest rate | |
| 4578. |
The type of bonds that are swapped to less developed country against an outstanding loan are classified as |
| A. | Brady bonds |
| B. | swapped bonds |
| C. | developed bonds |
| D. | developing bonds |
| Answer» B. swapped bonds | |
| 4579. |
The financial instruments such as treasury bonds and notes have |
| A. | lesser cost fluctuations |
| B. | wider price fluctuations |
| C. | less price fluctuations |
| D. | wider cost fluctuations |
| Answer» C. less price fluctuations | |
| 4580. |
The financial securities issued by the local and state governments are classified as |
| A. | municipal bonds |
| B. | reserve bonds |
| C. | state bonds |
| D. | federal bonds |
| Answer» B. reserve bonds | |
| 4581. |
The value of option issued to call debt is $780 USD and return rate on callable bond is $370 USD then return rate on non callable bond is |
| A. | $1,250 |
| B. | $1,150 |
| C. | $1,350 |
| D. | $410 |
| Answer» E. | |
| 4582. |
According to marketability feature, the bonds which are attached to stock warrants have |
| A. | decreased floatation |
| B. | increased floatation |
| C. | increased marketability |
| D. | decreased marketability |
| Answer» D. decreased marketability | |
| 4583. |
The junk bonds which are rated lower than triple B are also classified as |
| A. | high yield bonds |
| B. | low yield bonds |
| C. | zero floating bonds |
| D. | high floating rate bonds |
| Answer» B. low yield bonds | |
| 4584. |
The firms that attach bonds to the stock warrants are usually |
| A. | less discounted |
| B. | more riskier |
| C. | less riskier |
| D. | more discounted |
| Answer» C. less riskier | |
| 4585. |
The marginal income tax rate is 28% and before tax rate of return is 14.5% then the after tax rate of return is |
| A. | 0.0744 |
| B. | 0.0844 |
| C. | 0.0944 |
| D. | 0.1044 |
| Answer» E. | |
| 4586. |
The value of option issued to call debt is $670 USD and return rate on callable bond is $540 USD then return rate on non callable bond is |
| A. | $1,210 |
| B. | $1,010 |
| C. | $130 |
| D. | $1,020 |
| Answer» D. $1,020 | |
| 4587. |
The interest rate on floating rate eurobonds is paid |
| A. | annually |
| B. | semiannually |
| C. | monthly |
| D. | quarterly |
| Answer» C. monthly | |
| 4588. |
The difference between face value of the bond and the call price of the bond is considered as |
| A. | call premium |
| B. | call provision |
| C. | discount premium |
| D. | discount provision |
| Answer» B. call provision | |
| 4589. |
The bonds that are considered investment rating bonds are given the rating of |
| A. | triple B rating bonds |
| B. | double B |
| C. | triple A |
| D. | double A |
| Answer» B. double B | |
| 4590. |
The treasury notes that provide returns tied to inflation rate are classified as |
| A. | clean price bonds |
| B. | discount index bonds |
| C. | premium index bonds |
| D. | inflation index bonds |
| Answer» E. | |
| 4591. |
The bonds used in purpose of specific projects which are financed by the collateral for issuing bonds are classified as |
| A. | indenture bonds |
| B. | trustee bonds |
| C. | collateral bonds |
| D. | mortgage bonds |
| Answer» E. | |
| 4592. |
In the financial markets, the separate trading of registered interest and principal securities have abbreviation of |
| A. | STORI |
| B. | STRIPS |
| C. | RIAPS |
| D. | STORIAP |
| Answer» C. RIAPS | |
| 4593. |
For municipal bonds, the trading in secondary markets are classified as |
| A. | infrequent origination |
| B. | static trading |
| C. | frequent trading |
| D. | infrequent trading |
| Answer» E. | |
| 4594. |
The municipal bonds are more considerable to |
| A. | full price investors |
| B. | household investors |
| C. | corporation investors |
| D. | clean price investors |
| Answer» C. corporation investors | |
| 4595. |
The price of treasury notes and treasury bonds without including accrued interest is classified as |
| A. | clean price |
| B. | full price |
| C. | dirty price |
| D. | accrued price |
| Answer» B. full price | |
| 4596. |
The call premium of bond is $760 USD and the call price of bond is $560 USD then face value of the bond is |
| A. | $200 |
| B. | $300 |
| C. | $1,320 |
| D. | 0.0138 |
| Answer» B. $300 | |
| 4597. |
The bonds that are usually unsecured and are only backed by worthiness of issuing firm are classified as |
| A. | untimed indentures |
| B. | untimed debentures |
| C. | indentures |
| D. | debentures |
| Answer» E. | |
| 4598. |
The call premium of bond is subtracted from call price of bond to calculate |
| A. | face value of bond |
| B. | face value of stock |
| C. | book value of stock |
| D. | book value of bond |
| Answer» B. face value of stock | |
| 4599. |
The bond which is used as insurer to protect investors against the interest rate risk is classified as |
| A. | zero coupon treasury notes |
| B. | zero coupon treasury bonds |
| C. | one payment bonds |
| D. | zero treasurer bonds |
| Answer» C. one payment bonds | |
| 4600. |
As compared to general obligation bonds, the revenue bonds are considered as |
| A. | more inflated |
| B. | less inflated |
| C. | less riskier |
| D. | more riskier |
| Answer» E. | |