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This section includes 657 Mcqs, each offering curated multiple-choice questions to sharpen your Testing Subject knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
Saving is for |
| A. | Funding happy retirement |
| B. | hedging inflation |
| C. | materializing the dream |
| D. | all of these |
| Answer» E. | |
| 2. |
The NSE – Nifty’s base period is |
| A. | 1992 |
| B. | 1995 |
| C. | 1993 |
| D. | 1994 |
| Answer» C. 1993 | |
| 3. |
Mutual fund can make investment |
| A. | in any company listed or unlisted |
| B. | in privately place d securities of associated company |
| C. | up to 40 % of the listed or unlisted securities of group of companies |
| D. | Should not exceed 10% of the funds in securities of a single company |
| Answer» E. | |
| 4. |
The unsystematic risk is explained by |
| A. | Variance of the index |
| B. | unexplained variance of index |
| C. | Explained variance of the index |
| D. | none of the above |
| Answer» C. Explained variance of the index | |
| 5. |
The market regulator of Indian capital market is? |
| A. | DFHI |
| B. | RBI |
| C. | CCI |
| D. | SEBI |
| Answer» E. | |
| 6. |
The aim of this fund is to provide regular and steady income to investor. |
| A. | Open ended fund |
| B. | closed ended fund |
| C. | growth fund |
| D. | income fund |
| Answer» E. | |
| 7. |
---------- instruments are those instruments, which have a maturity period of less than one year . |
| A. | capital market |
| B. | Money market |
| C. | local market |
| D. | all of these |
| Answer» C. local market | |
| 8. |
The problem with Markowitz’s model is that a number of covariance have to be estimated. forexample for a portfolio of 30 stocks, the covariance that to be estimated are |
| A. | 300 |
| B. | 350 |
| C. | 435 |
| D. | 450 |
| Answer» D. 450 | |
| 9. |
------occupies the pivotal position in the Indian money market |
| A. | RBI |
| B. | SEBI |
| C. | SBI |
| D. | none of these |
| Answer» B. SEBI | |
| 10. |
Financial goals of an individual may be |
| A. | funding retirement |
| B. | marriage of daughter |
| C. | buying a premium segment car |
| D. | all of these |
| Answer» E. | |
| 11. |
An example for a sunrise industry is |
| A. | IT business |
| B. | Animation industry |
| C. | FMCG (Fast moving consumer goods) |
| D. | None of these |
| Answer» C. FMCG (Fast moving consumer goods) | |
| 12. |
Repo rate means |
| A. | rate at which Govt. Borrows money |
| B. | rate at which RBI lends to banks |
| C. | rate at which RBI borrows money |
| D. | none of these |
| Answer» C. rate at which RBI borrows money | |
| 13. |
Real estate investment does not include |
| A. | Agricultural land |
| B. | A second house |
| C. | Commercial Property |
| D. | Equity shares |
| Answer» E. | |
| 14. |
The Sensex has |
| A. | 25 stocks |
| B. | 30 stocks |
| C. | 50 stocks |
| D. | 20 stocks |
| Answer» C. 50 stocks | |
| 15. |
Speculation involves |
| A. | Investing for a long period |
| B. | Action for a short period based on scientific lines |
| C. | Illegal contract |
| D. | all of these |
| Answer» C. Illegal contract | |
| 16. |
Inflation will |
| A. | escalate the cost |
| B. | reduce the purchasing power |
| C. | reduce the saving |
| D. | all of these |
| Answer» E. | |
| 17. |
Callable bonds mean |
| A. | Subscriber has the right to demand money before the time |
| B. | Issue has the right to redeem before the time |
| C. | Investor can request for redemption any time |
| D. | None of these |
| Answer» C. Investor can request for redemption any time | |
| 18. |
The securities contact act was passed in |
| A. | 1949 |
| B. | 1956 |
| C. | 1954 |
| D. | 1962 |
| Answer» C. 1954 | |
| 19. |
Value investing means, buying the stock |
| A. | after the growth cycle begins |
| B. | before the growth cycle begins |
| C. | after the results are out |
| D. | none of these |
| Answer» C. after the results are out | |
| 20. |
------------- is a vehicle to get entry into the asset classes. |
| A. | Capital market |
| B. | Mutual fund |
| C. | Debt market |
| D. | all of these |
| Answer» C. Debt market | |
| 21. |
When the risk perception is high, investor prefers to get the bond at |
| A. | Higher rate |
| B. | Reduced rate |
| C. | Par rate |
| D. | None of these |
| Answer» C. Par rate | |
| 22. |
For every RS 1 lakh of fresh issue of capital there should be at least |
| A. | 5 share holders |
| B. | 10share holders |
| C. | 15 share holders |
| D. | 20 share holders |
| Answer» B. 10share holders | |
| 23. |
White candlestick represents |
| A. | Bullish trend |
| B. | Bearish trend |
| C. | Neutral trend |
| D. | None of these |
| Answer» B. Bearish trend | |
| 24. |
Which of the following helps in reduction of risk in portfolio management? |
| A. | Derivation |
| B. | dispersion |
| C. | distribution |
| D. | diversification |
| Answer» E. | |
| 25. |
SEBI has made it mandatory for the companies to disclose |
| A. | The yearly annual report |
| B. | monthly report and annual report |
| C. | Quarterly report and annual report |
| D. | monthly review and annual report |
| Answer» D. monthly review and annual report | |
| 26. |
The fall in the interest rate is good to the stock market because |
| A. | money may flow from bond market to stock market |
| B. | corporate houses can borrow at easy terms |
| C. | investors can invest with borrowed funds |
| D. | all of these |
| Answer» E. | |
| 27. |
Which of the following is a defensive industry? |
| A. | Steel industry |
| B. | Pharmaceuticals |
| C. | Cement industry |
| D. | None of these |
| Answer» C. Cement industry | |
| 28. |
According to efficient market theorist the stock price |
| A. | moves in trend |
| B. | each successive change depends on the previous one |
| C. | each successive change does not depend on the previous one |
| D. | price movements crate patterns |
| Answer» D. price movements crate patterns | |
| 29. |
Foreign currency appreciation will result in rupee receipts |
| A. | Lower |
| B. | Higher |
| C. | Unchanged |
| D. | None of these |
| Answer» C. Unchanged | |
| 30. |
If the maturity period of bond is more, investor prefers |
| A. | Lesser return |
| B. | Higher return |
| C. | Zero return |
| D. | None of these |
| Answer» C. Zero return | |
| 31. |
Interest rate on money market funds are ------ |
| A. | Individual determined |
| B. | market determined |
| C. | RBI determined |
| D. | all of these |
| Answer» C. RBI determined | |
| 32. |
Flat trend in technical analysis means |
| A. | prices move upwards |
| B. | prices move downwards |
| C. | prices move within a narrow range |
| D. | none of these |
| Answer» D. none of these | |
| 33. |
The finance minster in 2000 Feb announced the aggregate investment limit of FII/NRI/OCBIN A company as |
| A. | 35 % |
| B. | 30% |
| C. | 40% |
| D. | 35% |
| Answer» D. 35% | |
| 34. |
Money market include |
| A. | Only organized players |
| B. | only unorganized players |
| C. | both organized and unorganized players |
| Answer» D. | |
| 35. |
-----is a market where money is brought and sold |
| A. | Money market |
| B. | capital market |
| C. | share market |
| D. | none of these |
| Answer» B. capital market | |
| 36. |
Over the counter market is a part of |
| A. | Primary market |
| B. | secondary market |
| C. | money market |
| D. | none of the above |
| Answer» C. money market | |
| 37. |
This fund is open for subscription only during a specified period |
| A. | Open ended fund |
| B. | closed ended fund |
| C. | growth fund |
| D. | income fund |
| Answer» C. growth fund | |
| 38. |
------------- is postponement of current consumption |
| A. | money |
| B. | savings |
| C. | investments |
| D. | all of these |
| Answer» C. investments | |
| 39. |
In a bullish market, a bearish signal is given when |
| A. | advance decline line sloped down |
| B. | BS E sensex is falling |
| C. | fall in the trade volumes |
| D. | A/D lines slopes downward while BSE sensex is raising |
| Answer» E. | |
| 40. |
Yield to maturity is the single factor that makes |
| A. | The future value of the present cash flows from a bond equal to bond value |
| B. | The future value of the present cash flows from a bond equal to the future price of the bond |
| C. | Present value of the future cash flows of the bond equal to the current price of the bond |
| D. | The future value of the bond equal to the present price |
| Answer» D. The future value of the bond equal to the present price | |
| 41. |
The market value of the scrip is determined by |
| A. | The dividend declared by the company |
| B. | The present statues of the stock market |
| C. | The number of floating shares |
| D. | The interaction of demand and supply |
| Answer» E. | |
| 42. |
Mutual funds invest in |
| A. | Stocks only |
| B. | Bonds only |
| C. | Stock and bonds |
| D. | Stock, bonds and cash instruments |
| Answer» E. | |
| 43. |
NABARD was set up in the year |
| A. | 1991 |
| B. | 1881 |
| C. | 1982 |
| D. | 1972 |
| Answer» D. 1972 | |
| 44. |
. Economic well being of a person depends on |
| A. | how much you save |
| B. | how much you invest |
| C. | how wisely you invest |
| D. | none of these |
| Answer» D. none of these | |
| 45. |
For portfolio of 40 stocks to adopt Sharpe index model, the bit of information needed are |
| A. | 80 |
| B. | 100 |
| C. | 120 |
| D. | 122 |
| Answer» E. | |
| 46. |
Estimating the return and risk for individual securities is known as |
| A. | Market analysis |
| B. | Securities analysis |
| C. | Environment analysis |
| D. | None of these |
| Answer» C. Environment analysis | |
| 47. |
---------- is the other name for Zero Coupon bonds. |
| A. | bond , |
| B. | debenture , |
| C. | Deep discount bonds |
| D. | coupon bond |
| Answer» D. coupon bond | |
| 48. |
Equity cult is spreading very fast in India due to |
| A. | high propensity to save among the Indians |
| B. | tax concession on divided income in India |
| C. | tax concession on capital gain in India |
| D. | all of these |
| Answer» E. | |
| 49. |
Over the counter market is for |
| A. | selling the share through banker |
| B. | buying /selling of unlisted securities |
| C. | Buying /selling of listed securities |
| D. | selling the securities to the financial |
| Answer» C. Buying /selling of listed securities | |
| 50. |
) Dematerialization eliminates the risk of |
| A. | fake certificate |
| B. | theft of share certificate |
| C. | delay in the transfer of shares |
| D. | all of these |
| Answer» E. | |