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.
| 1101. |
Financial instruments of public markets includes$? |
| A. | transfer funds |
| B. | bearer bonds |
| C. | shares |
| D. | bonds |
| Answer» D. bonds | |
| 1102. |
Markets in which transactions are done through computers and telephone without any specific location are classified as$? |
| A. | past counter market |
| B. | future counter market |
| C. | over counter markets |
| D. | capital counter market |
| Answer» D. capital counter market | |
| 1103. |
Risk stating assets are sold at low prices because of sudden surge in withdrawals of liabilities is classified as$? |
| A. | payment risk |
| B. | liquidity risk |
| C. | income risk |
| D. | balance risk |
| Answer» C. income risk | |
| 1104. |
The EXIM policy 2002-2007 coincides with the:$? |
| A. | 7th Five year plan |
| B. | 8th Five year plan |
| C. | 9th Five year plan |
| D. | 10th Five year plan |
| Answer» D. 10th Five year plan | |
| 1105. |
A debit in balance of payments does not indicate$? |
| A. | Import of goods and services |
| B. | Foreign tourists enchasing travellers’ cheque in the country |
| C. | Investments made abroad |
| D. | Export of goods and services |
| Answer» E. | |
| 1106. |
Country A imports gold worth USD 100 million for commercial purposes. The transaction will affect$? |
| A. | Current account only |
| B. | Capital account only |
| C. | Official reserves account only |
| D. | Both current account and capital account |
| Answer» E. | |
| 1107. |
The threshold limit for the handloom industry as per the recent EXIM policy is:$? |
| A. | 500 crores |
| B. | 350 crores |
| C. | 250 crores |
| D. | 100 crores |
| Answer» D. 100 crores | |
| 1108. |
What does CCIE stand for?$? |
| A. | Chief Controller of Imports and Exports |
| B. | Central Cottage Industries Exports |
| C. | Control on Cotton Imports and Exports |
| D. | Commissioner of Central Imports and Exports |
| Answer» B. Central Cottage Industries Exports | |
| 1109. |
Under fixed exchange rate system, fall in the value of domestic currency due to deficit in balance of payments resulted in$? |
| A. | depreciation of the currency |
| B. | devaluation of the currency |
| C. | appreciation of the currency |
| D. | no change in the exchange rate normally |
| Answer» E. | |
| 1110. |
The role if IMF does not include$? |
| A. | monitoring the proper conduct of the international monetary system |
| B. | lending to socially oriented projects |
| C. | financing temporary balance of payments deficits of member countries |
| D. | providing source of liquidity to member countries |
| Answer» C. financing temporary balance of payments deficits of member countries | |
| 1111. |
The eligibility to borrow from IDA is based on$? |
| A. | relative poverty |
| B. | lack of creditworthiness to borrow on market terms |
| C. | good policy performance |
| D. | all the above |
| Answer» E. | |
| 1112. |
Security which has characteristics of common stock and bonds both at same time is classified as$? |
| A. | preferred stock |
| B. | voted stock |
| C. | cumulative stock |
| D. | fundamental stock |
| Answer» B. voted stock | |
| 1113. |
Type of voting in which all directors in voting lists are voted at same time is classified as$? |
| A. | cumulative voting |
| B. | non-cumulative voting |
| C. | dual class voting |
| D. | limited voting |
| Answer» B. non-cumulative voting | |
| 1114. |
Gross proceeds of stock is $24000 and net proceeds are $35000 then under writers spread is$? |
| A. | $15,000 |
| B. | $13,500 |
| C. | $16,750 |
| D. | $11,000 |
| Answer» E. | |
| 1115. |
Type of voting in which owner having half voting shares can elect board of directors is called$? |
| A. | directors voting |
| B. | half voting |
| C. | straight voting |
| D. | owners voting |
| Answer» D. owners voting | |
| 1116. |
Consider buying put option, if price is lower at expiration date of option then the$? |
| A. | liquidity will be higher |
| B. | loss will be higher |
| C. | profit will be lower |
| D. | profit will be higher |
| Answer» E. | |
| 1117. |
According to demand for funds curve, demand curve shifts down and to left if there is decrease in$? |
| A. | equilibrium supply |
| B. | equilibrium savings |
| C. | equilibrium demand |
| D. | equilibrium interest rate |
| Answer» E. | |
| 1118. |
If risk of financial security increases and supply curve shifts to left then impact on equilibrium of interest rate must$? |
| A. | decreases |
| B. | increases |
| C. | positive |
| D. | negative |
| Answer» C. positive | |
| 1119. |
Type of swaps in which fixed payments of interest are exchanged by two counterparties for floating payments of interest are called$? |
| A. | float-fixed swaps |
| B. | interest rate swaps |
| C. | indexed swaps |
| D. | counter party swaps |
| Answer» C. indexed swaps | |
| 1120. |
Type of contract which involves future exchange of assets at a specified price is classified as$? |
| A. | future contracts |
| B. | present contract |
| C. | spot contract |
| D. | forward contract |
| Answer» E. | |
| 1121. |
Contract which gives rights to holders to sell or buy asset at specific time period rather than giving obligation is classified as$? |
| A. | option |
| B. | contract |
| C. | obligatory contract |
| D. | non-obligatory contract |
| Answer» B. contract | |
| 1122. |
Time value of an option is added into intrinsic value to calculate$? |
| A. | market index of an option |
| B. | depreciated value of option |
| C. | appreciated value of option |
| D. | price of an option |
| Answer» E. | |
| 1123. |
Type of option that gives right to buyer to buy underlying option at specific exercise price is considered as$? |
| A. | European option |
| B. | Australian option |
| C. | call option |
| D. | put option |
| Answer» D. put option | |
| 1124. |
Up-front fee which must be paid by buyer to seller is called$? |
| A. | call premium |
| B. | discount premium |
| C. | strike premium |
| D. | exercise premium |
| Answer» B. discount premium | |
| 1125. |
Price at which stock is sold to investors by investment banks is called$? |
| A. | Gross proceeds |
| B. | cumulative proceeds |
| C. | non-cumulative proceeds |
| D. | net proceeds |
| Answer» B. cumulative proceeds | |
| 1126. |
Accounts receivable and inventory are examples of$? |
| A. | short term working capital |
| B. | long term working capital |
| C. | long term fixed assets |
| D. | short term fixed assets |
| Answer» B. long term working capital | |
| 1127. |
When interest rate is lower than equilibrium rate of borrowing loanable funds then financial system has$? |
| A. | surplus of funds |
| B. | deficit of funds |
| C. | short-term funds |
| D. | long-term funds |
| Answer» C. short-term funds | |
| 1128. |
If demand of loanable demands decrease then borrowing cost of funds is$? |
| A. | upside |
| B. | lower |
| C. | higher |
| D. | zero |
| Answer» C. higher | |
| 1129. |
When interest rate is higher than equilibrium rate of borrowing loanable funds then financial system has$? |
| A. | short-term funds |
| B. | long-term funds |
| C. | surplus of funds |
| D. | deficit of funds |
| Answer» D. deficit of funds | |
| 1130. |
The cost of hedging through option includes? |
| A. | Option premium |
| B. | Interest on option premium till due date of the contract |
| C. | Both a and b |
| D. | optimum premium and difference between option price and spot price |
| Answer» D. optimum premium and difference between option price and spot price | |
| 1131. |
Type of swaps in which fixed payments of interest are exchanged by two counterparties for floating payments of interest are called? |
| A. | float-fixed swaps |
| B. | interest rate swaps |
| C. | indexed swaps |
| D. | counter party swaps |
| Answer» C. indexed swaps | |
| 1132. |
If risk of financial security increases and supply curve shifts to left then impact on equilibrium of interest rate must? |
| A. | decreases |
| B. | increases |
| C. | positive |
| D. | negative |
| Answer» C. positive | |
| 1133. |
Type of contract which involves future exchange of assets at a specified price is classified as? |
| A. | future contracts |
| B. | present contract |
| C. | spot contract |
| D. | forward contract |
| Answer» E. | |
| 1134. |
If demand of loanable demands decrease then borrowing cost of funds is? |
| A. | upside |
| B. | lower |
| C. | higher |
| D. | zero |
| Answer» C. higher | |
| 1135. |
When interest rate is lower than equilibrium rate of borrowing loanable funds then financial system has? |
| A. | surplus of funds |
| B. | deficit of funds |
| C. | short-term funds |
| D. | long-term funds |
| Answer» C. short-term funds | |
| 1136. |
According to demand for funds curve, demand curve shifts down and to left if there is decrease in? |
| A. | equilibrium supply |
| B. | equilibrium savings |
| C. | equilibrium demand |
| D. | equilibrium interest rate |
| Answer» E. | |
| 1137. |
When interest rate is higher than equilibrium rate of borrowing loanable funds then financial system has? |
| A. | short-term funds |
| B. | long-term funds |
| C. | surplus of funds |
| D. | deficit of funds |
| Answer» D. deficit of funds | |
| 1138. |
Accounts receivable and inventory are examples of? |
| A. | short term working capital |
| B. | long term working capital |
| C. | long term fixed assets |
| D. | short term fixed assets |
| Answer» B. long term working capital | |
| 1139. |
Price at which stock is sold to investors by investment banks is called? |
| A. | Gross proceeds |
| B. | cumulative proceeds |
| C. | non-cumulative proceeds |
| D. | net proceeds |
| Answer» B. cumulative proceeds | |
| 1140. |
Contract which gives rights to holders to sell or buy asset at specific time period rather than giving obligation is classified as? |
| A. | option |
| B. | contract |
| C. | obligatory contract |
| D. | non-obligatory contract |
| Answer» B. contract | |
| 1141. |
Up-front fee which must be paid by buyer to seller is called? |
| A. | call premium |
| B. | discount premium |
| C. | strike premium |
| D. | exercise premium |
| Answer» B. discount premium | |
| 1142. |
Time value of an option is added into intrinsic value to calculate? |
| A. | market index of an option |
| B. | depreciated value of option |
| C. | appreciated value of option |
| D. | price of an option |
| Answer» E. | |
| 1143. |
Type of option that gives right to buyer to buy underlying option at specific exercise price is considered as? |
| A. | European option |
| B. | Australian option |
| C. | call option |
| D. | put option |
| Answer» D. put option | |
| 1144. |
Interest rate paid on traded Eurodollars is called as? |
| A. | London intra bank offered rate |
| B. | London interbank offered rate |
| C. | euro interbank offered rate |
| D. | demand intra bank rate |
| Answer» C. euro interbank offered rate | |
| 1145. |
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 | |
| 1146. |
Rate which is used in major banks in United States as a rate for industrial and commercial loans is? |
| A. | London intra bank offered rate |
| B. | London interbank offered rate |
| C. | euro interbank offered rate |
| D. | demand intra bank rate |
| Answer» C. euro interbank offered rate | |
| 1147. |
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 | |
| 1148. |
Increasing interest rates.? |
| A. | discourage corporate investments |
| B. | discourage individuals from saving |
| C. | encourage corporate expansion |
| D. | encourage corporate borrowing |
| Answer» B. discourage individuals from saving | |
| 1149. |
The euro is the name for? |
| A. | a currency deposited outside its country of origin |
| B. | a bond sold internationally outside of the country in whose currency the bond is denominated |
| C. | a common European currency |
| D. | foreign currencies deposited in home country |
| Answer» D. foreign currencies deposited in home country | |
| 1150. |
Which exchange commenced trading in currency in 1982? |
| A. | Philadelphia |
| B. | Mexican peso |
| C. | Bimsetallism |
| D. | Smithsonian |
| Answer» B. Mexican peso | |