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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.
| 4651. |
When the bonds are called and redeem, they must be ceased to |
| A. | earn interest |
| B. | pay interest |
| C. | earn floating rate |
| D. | earn funding rate |
| Answer» B. pay interest | |
| 4652. |
The several maturities dates are involved in the issued bonds if the company earnings are classified as |
| A. | parallel term income |
| B. | pledged |
| C. | volatile |
| D. | non-volatile |
| Answer» D. non-volatile | |
| 4653. |
Considering the coupon rate, the Brady bonds pays |
| A. | higher than traditional |
| B. | lower than promised |
| C. | higher than promise |
| D. | none of the above |
| Answer» C. higher than promise | |
| 4654. |
The private placed stock and privately placed bonds are considered as |
| A. | most illiquid securities |
| B. | most liquid securities |
| C. | least liquid securities |
| D. | least illiquid securities |
| Answer» B. most liquid securities | |
| 4655. |
The real interest rate and the real cash flows does not include |
| A. | equity effects |
| B. | debt effects |
| C. | inflation effects |
| D. | opportunity effects |
| Answer» D. opportunity effects | |
| 4656. |
In the eurodollar market, the increase in demand of Euro dollars results in |
| A. | increase in LIBOR |
| B. | decrease in LIBOR |
| C. | increase in KIBOR |
| D. | decrease in KIBOR |
| Answer» B. decrease in LIBOR | |
| 4657. |
The markets which reallocate liquid funds in relatively fixed amounts are classified as |
| A. | capital markets |
| B. | debt markets |
| C. | secondary markets |
| D. | primary markets |
| Answer» D. primary markets | |
| 4658. |
The financial instrument which is used to raise funds for working capital is considered as |
| A. | commercial paper |
| B. | commercial notes |
| C. | notes payable |
| D. | notes receivable |
| Answer» B. commercial notes | |
| 4659. |
As compared to US certificate of deposit, the interest rate paid on the eurodollar certificate of deposits is |
| A. | higher than other one |
| B. | lower than other one |
| C. | contraction than other one |
| D. | expansionary than other one |
| Answer» B. lower than other one | |
| 4660. |
The transaction of federal funds usually take place in the form of |
| A. | functional loans |
| B. | annual loans |
| C. | unsecured loans |
| D. | secured loans |
| Answer» D. secured loans | |
| 4661. |
The federal reserve decreases the money supply by |
| A. | selling Swiss bills |
| B. | buying Swiss bills |
| C. | selling treasury bills |
| D. | buying treasury bills |
| Answer» D. buying treasury bills | |
| 4662. |
The repurchase price is $380 USD, selling price is $310 USD and the number of days till maturity are 4 then yield of repurchase agreement is 2500 |
| A. | 0.0958 |
| B. | 0.1158 |
| C. | 0.1658 |
| D. | 0.1258 |
| Answer» D. 0.1258 | |
| 4663. |
The repurchase price is $250 USD, selling price is $220 USD and the number of days till maturity are 3 then yield of repurchase agreement is 2500 |
| A. | 0.1136 |
| B. | 0.1636 |
| C. | 0.1536 |
| D. | 0.1436 |
| Answer» C. 0.1536 | |
| 4664. |
The financial instrument such as commercial paper can be sold |
| A. | issued by commercial banks |
| B. | directly |
| C. | with brokers or dealers |
| D. | functional buyers |
| Answer» C. with brokers or dealers | |
| 4665. |
In the eurodollar market, the decrease in demand of Euro dollars results in |
| A. | increase in KIBOR |
| B. | decrease in KIBOR |
| C. | decrease in federal funds rate |
| D. | increase in federal funds rate |
| Answer» D. increase in federal funds rate | |
| 4666. |
The submitted bids in the treasury bills auction consists of types which are |
| A. | competitive bids |
| B. | non-competitive bids |
| C. | treasury bids |
| D. | both a and b |
| Answer» E. | |
| 4667. |
The group of dealers and brokers in financial institutions also includes |
| A. | money and security brokers |
| B. | capital brokers |
| C. | mortgage brokers |
| D. | expansionary brokers |
| Answer» B. capital brokers | |
| 4668. |
The overnight loans transaction are part of trading of |
| A. | extensive funds |
| B. | federal funds |
| C. | intensive funds |
| D. | premium funds |
| Answer» C. intensive funds | |
| 4669. |
The deposit issued by bank, usually negotiable and have specific maturity date and interest rate is classified as |
| A. | indirect certificate |
| B. | direct certificate |
| C. | negotiable certificate |
| D. | deposit certificate |
| Answer» D. deposit certificate | |
| 4670. |
If the 180 days T-bill have the maturity of one year with the value of $9250 USD and face value is $10000 USD then reported discount yield is |
| A. | 0.2 |
| B. | 0.13 |
| C. | 0.14 |
| D. | 0.15 |
| Answer» E. | |
| 4671. |
The price which is paid by the bidders and is accepted by all other bidders is classified as |
| A. | highest price |
| B. | lowest price |
| C. | zero price |
| D. | peak price |
| Answer» C. zero price | |
| 4672. |
If the 175 days T-bill have the maturity of one year with the value of $8000 USD and face value is $10000 USD then reported discount yield is |
| A. | 0.525 |
| B. | 0.4114 |
| C. | 0.4214 |
| D. | 0.4514 |
| Answer» C. 0.4214 | |
| 4673. |
The rates of certificate of deposits are mostly negotiated between |
| A. | bank and CoD buyer |
| B. | bank and stock market |
| C. | stock market and CoD buyer |
| D. | indirect negotiations of buyers |
| Answer» B. bank and stock market | |
| 4674. |
The repurchase price is subtracted from selling price divided by selling price and multiplied to 360 by number of days Upto maturity to calculate |
| A. | repurchase agreement yields |
| B. | purchase agreement yields |
| C. | repurchase yields |
| D. | transaction yields |
| Answer» B. purchase agreement yields | |
| 4675. |
The accounting entry of the institutions who borrows federal funds is as |
| A. | income in income statement |
| B. | expense on income statement |
| C. | liability on balance sheet |
| D. | assets on balance sheet |
| Answer» D. assets on balance sheet | |
| 4676. |
The federal reserve increases the money supply by |
| A. | selling treasury bills |
| B. | buying treasury bills |
| C. | selling Swiss bills |
| D. | buying Swiss bills |
| Answer» C. selling Swiss bills | |
| 4677. |
The treasury bills have high liquidity because of |
| A. | extensive secondary markets |
| B. | extensive primary markets |
| C. | premium money markets |
| D. | discounted money markets |
| Answer» B. extensive primary markets | |
| 4678. |
The repurchase price is $250 USD, selling price is $150 USD and the number of days till maturity are 5 then yield of repurchase agreement is 2500 |
| A. | 0.08 |
| B. | 0.188 |
| C. | 0.288 |
| D. | 0.388 |
| Answer» D. 0.388 | |
| 4679. |
The short term promissory notes and are unsecured, not collateralized against securities is classified as |
| A. | notes payable |
| B. | notes receivable |
| C. | commercial paper |
| D. | commercial notes |
| Answer» D. commercial notes | |
| 4680. |
The negotiable deposit certificate are traded in |
| A. | secondary markets |
| B. | primary markets |
| C. | direct markets |
| D. | indirect markets |
| Answer» B. primary markets | |
| 4681. |
The treasury bills are issued to raise significant amount of funds by |
| A. | US treasury |
| B. | Australian treasury |
| C. | Swiss treasury |
| D. | functional treasury |
| Answer» B. Australian treasury | |
| 4682. |
The type of market in which the short term instruments are traded and purchased by economic units is classified as |
| A. | money markets |
| B. | capital markets |
| C. | debt markets |
| D. | economic markets |
| Answer» B. capital markets | |
| 4683. |
For a particular security transaction, the agreement is classified as 'reverse repo' with the point of view of |
| A. | security liability |
| B. | security buyer |
| C. | security seller |
| D. | security function |
| Answer» C. security seller | |
| 4684. |
The bankers acceptance which is usually time draft is fully backed by |
| A. | commercial banks |
| B. | Swiss banks |
| C. | agriculture banks |
| D. | functional banks |
| Answer» B. Swiss banks | |
| 4685. |
The commercial papers cannot be converted in to cash with easy and quick transactions because of lack of |
| A. | organized secondary markets |
| B. | organized primary market |
| C. | organized interest markets |
| D. | organized money markets |
| Answer» B. organized primary market | |
| 4686. |
The type of bids which states complete description about quantity of bids and prices of bids is classified as |
| A. | markets bid |
| B. | bankers bid |
| C. | competitive bids |
| D. | non-competitive bids |
| Answer» D. non-competitive bids | |
| 4687. |
The government issues treasury bills at the discounted rate from |
| A. | face value |
| B. | book value |
| C. | premium value |
| D. | federal value |
| Answer» B. book value | |
| 4688. |
The obligations that are issued by US governments and are obligated for short term are classified as |
| A. | bankers treasury |
| B. | treasury bills |
| C. | treasury funds |
| D. | secured treasury |
| Answer» C. treasury funds | |
| 4689. |
The interest rate of certificate of deposits is quoted using a time span of |
| A. | 250 days a year |
| B. | 150 days a year |
| C. | 365 day a year |
| D. | 360 day a year |
| Answer» E. | |
| 4690. |
The certificate of deposits which are usually negotiable are issued by |
| A. | banks |
| B. | financial market |
| C. | stock exchange |
| D. | business corporations |
| Answer» B. financial market | |
| 4691. |
The most flexible and liquid source of funding for savings banks is |
| A. | annual loan market |
| B. | federal funds market |
| C. | functional funding market |
| D. | secured funding market |
| Answer» C. functional funding market | |
| 4692. |
The financial instruments traded in money markets are then traded in |
| A. | money markets |
| B. | capital markets |
| C. | debt markets |
| D. | economic markets |
| Answer» C. debt markets | |
| 4693. |
The agreement which incurs the transaction between two parties and promise held that second party will sell security at specific maturity is classified as |
| A. | repurchasing commercial notes |
| B. | repurchase bills |
| C. | purchase agreement |
| D. | reverse repurchase agreement |
| Answer» E. | |
| 4694. |
The operating tool used by federal reserve to influence the supply of bank to control demand and supply of repurchase agreements is classified as |
| A. | selling window |
| B. | buying window |
| C. | premium window |
| D. | discount window |
| Answer» E. | |
| 4695. |
The repurchase agreements having maturity of one week or lesser have denominations of |
| A. | $10 million USD or more |
| B. | $20 million USD or more |
| C. | $25 million USD or more |
| D. | $15 million USD or more |
| Answer» D. $15 million USD or more | |
| 4696. |
The selling price is $2000 and the contribution margin per unit is $800 then the contribution margin percentage |
| A. | $14,000 |
| B. | $25,700 |
| C. | $16,000 |
| D. | $25,000 |
| Answer» B. $25,700 | |
| 4697. |
The variable cost is subtracted from fixed costs to calculate |
| A. | unit income |
| B. | fixed income |
| C. | operating income |
| D. | marginal income |
| Answer» D. marginal income | |
| 4698. |
The selling price is $5000 and the contribution margin per unit is $1000 then the contribution margin percentage |
| A. | 0.12 |
| B. | 0.2 |
| C. | 0.05 |
| D. | 0.15 |
| Answer» C. 0.05 | |
| 4699. |
The fixed cost is $50000 and the contribution margin percentage is 20% then the breakeven revenue is |
| A. | $100,000 |
| B. | $150,000 |
| C. | $250,000 |
| D. | $225,000 |
| Answer» D. $225,000 | |
| 4700. |
The fixed cost is $30000 and the contribution margin per unit is $600 per unit then the breakeven in units is |
| A. | 50 units |
| B. | 60 units |
| C. | 70 units |
| D. | 65 units |
| Answer» B. 60 units | |