MCQOPTIONS
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MCQOPTIONS
This section includes 1419 Mcqs, each offering curated multiple-choice questions to sharpen your General Management knowledge and support exam preparation. Choose a topic below to get started.
| 851. |
_ If trading of municipal bonds is infrequent, then secondary market is considered as$? |
| A. | thin markets |
| B. | thick markets |
| C. | higher underwriting |
| D. | lower underwriting |
| Answer» B. thick markets | |
| 852. |
_ Auction of TIPS security is classified as$? |
| A. | premium bid auction |
| B. | discount bid auction |
| C. | multiple bid auction |
| D. | One bid auction |
| Answer» E. | |
| 853. |
_ Securities with lower default risk and having highest credit quality are assigned rating of$? |
| A. | double B |
| B. | triple B |
| C. | triple A |
| D. | double A |
| Answer» D. double A | |
| 854. |
_ As compared to non-convertible bonds, yield on convertible bond is$? |
| A. | relatively lower |
| B. | relatively higher |
| C. | relatively zero |
| D. | relatively discounted |
| Answer» B. relatively higher | |
| 855. |
_ Rules and regulations placed on bond holders and bond issuers are classified in$? |
| A. | bond covenants |
| B. | private covenants |
| C. | federal covenants |
| D. | expansion covenants |
| Answer» B. private covenants | |
| 856. |
_ Junk bonds which are rated lower than triple B are also classified as$? |
| A. | high yield bonds |
| B. | low yield bonds |
| C. | zero floating bonds |
| D. | high floating rate bonds |
| Answer» B. low yield bonds | |
| 857. |
_ Treasury bills are issued on$? |
| A. | treasury basis |
| B. | corporate basis |
| C. | premium basis |
| D. | discount basis |
| Answer» E. | |
| 858. |
_ Conversion values is divided by conversion rate received on conversion on stock to calculate$? |
| A. | current market price |
| B. | past market price |
| C. | future market value |
| D. | current stock value |
| Answer» B. past market price | |
| 859. |
_ Debt which depict historical accumulated record of federal government expenditures is classified as$? |
| A. | national debt |
| B. | international debt |
| C. | global debt |
| D. | contraction debt |
| Answer» B. international debt | |
| 860. |
_ For a taxable security, tax exempted interest rate on municipal bonds us used to determine$? |
| A. | tax equivalent rate of return |
| B. | local rate of return |
| C. | withholding tax rate |
| D. | general sales tax rate |
| Answer» B. local rate of return | |
| 861. |
_ Value of option issued to call debt is $670 and return rate on callable bond is $540 then return rate on non-callable bond is$? |
| A. | $1,210 |
| B. | $1,010 |
| C. | $130 |
| D. | $1,020 |
| Answer» D. $1,020 | |
| 862. |
_ Yields of municipal bonds is$? |
| A. | after tax rate of return |
| B. | before tax rate of return |
| C. | corporative rate of return |
| D. | federal rate of return |
| Answer» B. before tax rate of return | |
| 863. |
_ In firm commitment underwriting, securities issued are then sold to investors at relatively$? |
| A. | higher price |
| B. | lower price |
| C. | indexed price |
| D. | commercial price |
| Answer» B. lower price | |
| 864. |
_ Treasury securities are considered as exempted from$? |
| A. | federal taxes |
| B. | local and state taxes |
| C. | federal discounts |
| D. | deferral premium |
| Answer» B. local and state taxes | |
| 865. |
_ Sum of purchase price and accrued interest on treasury bonds and notes is considered as$? |
| A. | dirty price |
| B. | clean price |
| C. | paid price |
| D. | unpaid price |
| Answer» B. clean price | |
| 866. |
_ With consolidation of currencies, created liquidity allows Eurobond$? |
| A. | price and supply to decrease |
| B. | price and supply to increase |
| C. | demand and size to decrease |
| D. | demand and size to increase |
| Answer» E. | |
| 867. |
_ Marginal income tax rate is 28% and before tax rate of return is 14.5% then after tax rate of return is$? |
| A. | 7.44% |
| B. | 8.44% |
| C. | 9.44% |
| D. | 10.44% |
| Answer» E. | |
| 868. |
_ Municipal bonds are more considerable to$? |
| A. | full price investors |
| B. | household investors |
| C. | corporation investors |
| D. | clean price investors |
| Answer» C. corporation investors | |
| 869. |
_ Feature of stock which allows stock holders to buy shares at price below than market price is called$? |
| A. | shares offering |
| B. | price offering |
| C. | rights offering |
| D. | stock offering |
| Answer» D. stock offering | |
| 870. |
_ Voting ballot that is sent to stock holders by corporation is classified as$? |
| A. | corporate paper |
| B. | white voting paper |
| C. | screened paper |
| D. | proxy |
| Answer» E. | |
| 871. |
_ Call option considering interest rates and have multiple exercise dates is classified as$? |
| A. | floor |
| B. | cap |
| C. | swaps multiplier |
| D. | notion multiplier |
| Answer» C. swaps multiplier | |
| 872. |
_ Stock prices of five companies are $50, $60, $55, $58, $63 then initial value of price weighted index is$? |
| A. | $60 |
| B. | $57.20 |
| C. | $55 |
| D. | $63 |
| Answer» C. $55 | |
| 873. |
_ Under writer spread is subtracted from gross proceeds to calculate$? |
| A. | Gross proceeds |
| B. | cumulative proceeds |
| C. | non cumulative proceeds |
| D. | net proceeds |
| Answer» E. | |
| 874. |
_ Capital gains are 14% and periodic payments to stock holder are 11% then return on stock investment for stock holder is$? |
| A. | 30.00% |
| B. | 24.00% |
| C. | 25.00% |
| D. | 15.00% |
| Answer» C. 25.00% | |
| 875. |
_ Process in which group of investment banks distribute securities is classified as$? |
| A. | task groups |
| B. | syndicate |
| C. | investment groups |
| D. | securitize groups |
| Answer» C. investment groups | |
| 876. |
_ Pre-specified price at which underlying asset is bought and sold is called as$? |
| A. | maturity price |
| B. | strike price |
| C. | exercise price |
| D. | both b and c |
| Answer» E. | |
| 877. |
_ Interest and dividend proceeds received by investors on foreign investment is$? |
| A. | transfer payment |
| B. | factor income |
| C. | merchandise payment |
| D. | service payment |
| Answer» C. merchandise payment | |
| 878. |
_ IMF was created in$? |
| A. | 1941 |
| B. | 1945 |
| C. | 1943 |
| D. | 1944 |
| Answer» E. | |
| 879. |
_ Distinction between overall exports and imports is related to$? |
| A. | factor income |
| B. | transfer Payments |
| C. | balance of trade |
| D. | account balance |
| Answer» D. account balance | |
| 880. |
_ Most unsafe mode by which firms perform worldwide business is$? |
| A. | Licensing |
| B. | Franchising |
| C. | International Trade |
| D. | The establishment of new subsidiaries |
| Answer» E. | |
| 881. |
_ Aim of MNC is to boost accounting profitability by shifting funds around the$? |
| A. | Country |
| B. | Region |
| C. | World |
| D. | Market |
| Answer» D. Market | |
| 882. |
_ A specified country$? |
| A. | Other Country |
| B. | Other People |
| C. | Parent Company |
| D. | Other Subsidiary |
| Answer» D. Other Subsidiary | |
| 883. |
_ Investors take political hazard as$? |
| A. | Encouraged |
| B. | Discouraged |
| C. | Attracted |
| D. | Make them happy |
| Answer» C. Attracted | |
| 884. |
_ Current Account in BOP characterize summary of stream of funds between particular country and all other country due to$? |
| A. | sale of assets |
| B. | purchase of goods and services |
| C. | liabilities of long term |
| D. | liabilities of short term |
| Answer» C. liabilities of long term | |
| 885. |
_ The price at which a market maker is prepared to sell a currency or lend money$? |
| A. | forward rate |
| B. | sport rate |
| C. | bid rate |
| D. | offer rate |
| Answer» E. | |
| 886. |
_ The index of Financial Inclusion has been launched for the first time in 2008$? |
| A. | Confederation of Indian Industries (CII) |
| B. | Federation of Indian Chamber of Commerce and Industry (FICCI) |
| C. | National Council of Applied Economic Research (NCAER) |
| D. | Indian Council for Research on International Economic Relations (ICRIER) |
| Answer» E. | |
| 887. |
_ Which exchange rate theory focuses on the inflation exchange rate relationship?$? |
| A. | Interest rate parity |
| B. | International Fisher Effect |
| C. | Purchasing power parity |
| D. | Traditional Model |
| Answer» D. Traditional Model | |
| 888. |
_ A bank located usually in another country that provides service for another bank is$? |
| A. | Foreign bank |
| B. | Central bank |
| C. | Correspondent ban |
| D. | World Bank |
| Answer» D. World Bank | |
| 889. |
_ Long-term securities denominated in two currencies is called as$? |
| A. | Euro bond |
| B. | Dual currency bonds |
| C. | Foreign bonds |
| D. | Euro dollar deposit |
| Answer» C. Foreign bonds | |
| 890. |
_ Financial hazard is most related with$? |
| A. | use of equity financing by corporations |
| B. | use of debt financing by corporations |
| C. | equity investments held by corporations |
| D. | debt investment held by corporations |
| Answer» C. equity investments held by corporations | |
| 891. |
_ Capital Market Line is firstly initiated by$? |
| A. | Mohsin |
| B. | Linter |
| C. | Markowitz |
| D. | William Sharpe |
| Answer» E. | |
| 892. |
_ Liquidity risk is:$? |
| A. | is risk investments bankers face |
| B. | is lower for small OTC |
| C. | is risk associated with secondary market transactions |
| D. | increases whenever interest rates increases |
| Answer» D. increases whenever interest rates increases | |
| 893. |
_ Choice of financial managing can be split down into choices of$? |
| A. | Financing and investment |
| B. | Investment, financing, and asset management |
| C. | Financing and dividend |
| D. | Capital budgeting, cash management, and credit management |
| Answer» C. Financing and dividend | |
| 894. |
_ Example of a market deficiency is$? |
| A. | Restrictions on transfer of labour |
| B. | Restrictions on transfer of funds |
| C. | Restrictions on capital flows during currency crisis |
| D. | All of answers are correct |
| Answer» E. | |
| 895. |
_ Minimum denominations of municipal bonds are$? |
| A. | $5,000 |
| B. | $10,000 |
| C. | $12,000 |
| D. | $22,000 |
| Answer» B. $10,000 | |
| 896. |
_ Eurobonds are issued by financial firms to$? |
| A. | avoid taxes |
| B. | avoid interest hike |
| C. | avoid high floating rate |
| D. | avoid portfolio issues |
| Answer» B. avoid interest hike | |
| 897. |
_ Foreign bonds issued in Japan financial institutions are classified as$? |
| A. | bull dog bonds |
| B. | bull cat bonds |
| C. | Yankee bonds |
| D. | samurai bonds |
| Answer» E. | |
| 898. |
_ As compared to general obligation bonds, revenue bonds are considered as$? |
| A. | more inflated |
| B. | less inflated |
| C. | less risky |
| D. | more risky |
| Answer» E. | |
| 899. |
_ Mortgage bonds issued by corporations are considered as$? |
| A. | secured debt issues |
| B. | unsecured debt issues |
| C. | volatile debt issues |
| D. | collateral debt issues |
| Answer» B. unsecured debt issues | |
| 900. |
_ Duration which is divided by interest rate plus one is classified as$? |
| A. | decreased duration |
| B. | increase duration |
| C. | modified duration |
| D. | at par duration |
| Answer» D. at par duration | |