MCQOPTIONS
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MCQOPTIONS
This section includes 2331 Mcqs, each offering curated multiple-choice questions to sharpen your UGC-NET knowledge and support exam preparation. Choose a topic below to get started.
| 951. |
Funtamntal analysis is ……………. |
| A. | time consuming |
| B. | time saving |
| C. | expensive |
| D. | none of these |
| Answer» B. time saving | |
| 952. |
The cheapest method of selling new securities is |
| A. | sale through clearing houses |
| B. | direct sales to public through prospects |
| C. | right issue |
| D. | stock exchange placing |
| Answer» E. | |
| 953. |
The underwriting commission in the case of debentures cannot exceed |
| A. | 1 percentage |
| B. | 3.5 percentage |
| C. | 5 percentage |
| D. | 2.5 percentage |
| Answer» E. | |
| 954. |
A ---------is not a speculator in the stock exchange |
| A. | bull |
| B. | bear |
| C. | stag |
| D. | broker |
| Answer» E. | |
| 955. |
The first exchange was to set up in India was in |
| A. | delhi |
| B. | chennai |
| C. | mumbai |
| D. | kolkata |
| Answer» D. kolkata | |
| 956. |
A - ---- expects a fall in the prices of securities in the near future |
| A. | bull |
| B. | bear |
| C. | stag |
| D. | broker |
| Answer» C. stag | |
| 957. |
Which of the following represents components of the organized sector of the capital market? |
| A. | stock exchange |
| B. | commercial banks |
| C. | investors |
| D. | all the above |
| Answer» E. | |
| 958. |
The most important function of the new issues market is to provide |
| A. | direction to the flow of capital |
| B. | liquidity to the securities |
| C. | facilities for conversion of savings into investments |
| D. | an opportunity for new entrepreneurs to succeed |
| Answer» D. an opportunity for new entrepreneurs to succeed | |
| 959. |
The first exchange was set up in the in the year |
| A. | 1847 |
| B. | 1875 |
| C. | 1905 |
| D. | 1923 |
| Answer» C. 1905 | |
| 960. |
The new issue market pertains to |
| A. | second hand securities |
| B. | new securities |
| C. | new as well as second hand securities |
| D. | only trail launches into the market |
| Answer» C. new as well as second hand securities | |
| 961. |
Trading securities beyond the official trading hours of the stock exchange is called |
| A. | hammering |
| B. | margin trading |
| C. | short trading |
| D. | kerb trading |
| Answer» E. | |
| 962. |
The gilt-edged market refers to the market for |
| A. | govt and semi govt securities |
| B. | industrial securities |
| C. | shares and debentures |
| D. | public limited company securities |
| Answer» B. industrial securities | |
| 963. |
First mutual fund of India is |
| A. | reserve bank of india |
| B. | state bank of india |
| C. | unit trust of india |
| D. | government of india |
| Answer» D. government of india | |
| 964. |
Mutual fund schemes can be operated by |
| A. | assets management company |
| B. | public sector banks |
| C. | financial institutions |
| D. | any of these |
| Answer» B. public sector banks | |
| 965. |
Regulation authority of stock exchange is |
| A. | indian companies act |
| B. | stock exchange act |
| C. | securities contact(regulation) act |
| D. | all of the above |
| Answer» D. all of the above | |
| 966. |
When a bear find it difficult to meet his commitments immediately, he is called a |
| A. | stag |
| B. | lame duck |
| C. | lame bear |
| D. | lame bull |
| Answer» C. lame bear | |
| 967. |
Following is the largest mutual fund business in India |
| A. | unit trust of india |
| B. | state bank of india |
| C. | canara bank |
| D. | tata |
| Answer» B. state bank of india | |
| 968. |
The securities contract (regulation )act came into force with effect from |
| A. | 1949 |
| B. | 1954 |
| C. | 1956 |
| D. | 1957 |
| Answer» E. | |
| 969. |
What denotes the acquisition of a right to purchase securities? |
| A. | put option |
| B. | call option |
| C. | double option |
| D. | none of the above |
| Answer» C. double option | |
| 970. |
Who does “blue chip “denotes |
| A. | shares likely to yield agreed return |
| B. | shares listed in the stock exchanges |
| C. | shares guaranteed by the government |
| D. | shares consistently yielding high returns |
| Answer» E. | |
| 971. |
Financial derivatives are mainly used for |
| A. | speculative activity |
| B. | creating more risk |
| C. | hedging risk |
| D. | earning income |
| Answer» D. earning income | |
| 972. |
In an option contract, if the option can be exercised only at the time of maturity, it is called |
| A. | double option |
| B. | american option |
| C. | put option |
| D. | european option |
| Answer» E. | |
| 973. |
The instrument that are marked to the market are |
| A. | forward |
| B. | future |
| C. | swaps |
| D. | options |
| Answer» C. swaps | |
| 974. |
The predetermined price at which an underlying assets has to be bought or sold in an optioncontract is called |
| A. | option price |
| B. | exercise price |
| C. | spot price |
| D. | future price |
| Answer» C. spot price | |
| 975. |
A combination of forwards by two counterparties with opposite but matching needs is called |
| A. | swap |
| B. | option |
| C. | forward |
| D. | future |
| Answer» B. option | |
| 976. |
In India ,the company which actually deals with the corpus of the mutual fund is called |
| A. | sponsor company |
| B. | trustee company |
| C. | asset management company |
| D. | mutual fund company |
| Answer» D. mutual fund company | |
| 977. |
Mutual fund are very popular in |
| A. | u.s.a |
| B. | u.k |
| C. | japan |
| D. | india |
| Answer» B. u.k | |
| 978. |
The pattern of investment of a mutual fund is oriented fixed income yielding securities under |
| A. | growth fund scheme |
| B. | income fund scheme |
| C. | balanced fund scheme |
| D. | money market mutual fund scheme |
| Answer» C. balanced fund scheme | |
| 979. |
Which one of the following is a cash assets |
| A. | deposits created out of loans |
| B. | share |
| C. | bond |
| D. | post office certificate |
| Answer» B. share | |
| 980. |
The component of capital market is |
| A. | treasury bill market |
| B. | government securities market |
| C. | commercial bill market |
| D. | a and b |
| Answer» C. commercial bill market | |
| 981. |
The market for short term loans is known as |
| A. | call money market |
| B. | treasury bill market |
| C. | money market |
| D. | acceptance market |
| Answer» D. acceptance market | |
| 982. |
Bills drawn and acceptance payable after three months are called |
| A. | indigenous bills |
| B. | usance bills |
| C. | clean bills |
| D. | supply bills |
| Answer» C. clean bills | |
| 983. |
The market which helps commercial banks to maintain their SLR requirements is |
| A. | call money market |
| B. | discount market |
| C. | acceptance market |
| D. | commercial bill market |
| Answer» B. discount market | |
| 984. |
An order for the purchase of securities at fixed prices is known as |
| A. | limit order |
| B. | open order |
| C. | discretionary order |
| D. | stop loss order |
| Answer» B. open order | |
| 985. |
_______ is a document which either creates a debt or acknowledges it. |
| A. | zero coupon bond |
| B. | debentures |
| C. | equity shares |
| D. | none of the above |
| Answer» C. equity shares | |
| 986. |
Speculators who neither buy nor sell securities in the market ,but still trade on them are called |
| A. | wolves |
| B. | stags |
| C. | lame ducks |
| D. | bears |
| Answer» C. lame ducks | |
| 987. |
________ securities are generally issued for a fixed period and redeemable by the issuer at the endof that period. |
| A. | zero coupon bond |
| B. | debt |
| C. | equity shares |
| D. | none of the above |
| Answer» C. equity shares | |
| 988. |
__________ instruments are those instruments, which have a maturity period of less than oneyear |
| A. | money market |
| B. | capital market |
| C. | debt market |
| D. | none of these |
| Answer» B. capital market | |
| 989. |
G-Secs are issued by the______ on behalf of the Government of India. |
| A. | reserve bank of india |
| B. | securities and exchange board of india |
| C. | ministry of commerce |
| D. | all of these |
| Answer» B. securities and exchange board of india | |
| 990. |
Advance decline line is a ______ |
| A. | indicator |
| B. | pattern |
| C. | market indicator |
| D. | none of the above |
| Answer» B. pattern | |
| 991. |
This is the stock valuation method that uses financial data to predict price movements. |
| A. | fundamental analysis |
| B. | technical analysis |
| C. | company analysis |
| D. | none of the above |
| Answer» B. technical analysis | |
| 992. |
‘Gilt Securities’ are issued by _________. |
| A. | reserve bank of india |
| B. | securities and exchange board of india |
| C. | ministry of commerce |
| D. | all of these |
| Answer» B. securities and exchange board of india | |
| 993. |
This is the level is the level that the technical analyst believes a stock price will not fall below. |
| A. | support level |
| B. | resistance level |
| C. | maximum level |
| D. | none of the above |
| Answer» C. maximum level | |
| 994. |
This pattern occurs when a stock price drops to a similar price level twice within a few weeks ormonths. |
| A. | support level |
| B. | cup ad handle |
| C. | double bottom |
| D. | none of the above |
| Answer» D. none of the above | |
| 995. |
Most of such stocks pay dividends and hence investors would like to buy and hold for longperiods. Such a portfolio is called; |
| A. | patient portfolio |
| B. | aggressive portfolio |
| C. | efficient portfolio |
| D. | none of the above |
| Answer» B. aggressive portfolio | |
| 996. |
This portfolio invests in “expensive stocks” that offer big rewards but also carry big risks. |
| A. | patient portfolio |
| B. | aggressive portfolio |
| C. | efficient portfolio |
| D. | none of the above |
| Answer» C. efficient portfolio | |
| 997. |
Each contract is custom designed, and hence is unique in terms of contract size, expiration dateand the asset type and quality. |
| A. | forward contract |
| B. | future contract |
| C. | options |
| D. | none of the above |
| Answer» B. future contract | |
| 998. |
A portfolio that provides highest returns at a given level of risk. |
| A. | patient portfolio |
| B. | aggressive portfolio |
| C. | efficient portfolio |
| D. | none of the above |
| Answer» D. none of the above | |
| 999. |
These contracts are standardized and hence trade in stock exchanges |
| A. | forward contract |
| B. | future contract |
| C. | options |
| D. | none of the above |
| Answer» C. options | |
| 1000. |
The credit risk of future is __________ than that of forwards: |
| A. | lower |
| B. | higher |
| C. | average |
| D. | none of the above |
| Answer» B. higher | |