MCQOPTIONS
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MCQOPTIONS
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. |
The LIC was Establishment on…………….. |
| A. | 1st Sep 1956 |
| B. | 2nd Sep 1956 |
| C. | 15th Aug 1949 |
| D. | 1st Jan 1947 |
| Answer» B. 2nd Sep 1956 | |
| 2. |
The predetermined price at which an underlying asset has to be bought or sold in. anoption contract is called ________. |
| A. | Option price. |
| B. | Exercise price |
| C. | Spot price |
| D. | Future price |
| Answer» C. Spot price | |
| 3. |
These days RBI uses Selective credit control measures rather infrequentlybecause of: |
| A. | Deregulation of functions |
| B. | Autonomy given to banks |
| C. | Comfortable liquidity |
| D. | Reasonable inflation level |
| Answer» D. Reasonable inflation level | |
| 4. |
Off shore VCFs are promoted by ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ & financialinstitution. |
| A. | Foreign banks |
| B. | Private banks |
| C. | State banks |
| D. | None of these. |
| Answer» B. Private banks | |
| 5. |
Which of the following organisations/agencies works solely to monitorand arrange flow of agriculture credit in India? |
| A. | NABARD |
| B. | SIDBI |
| C. | RBI |
| D. | SEBI |
| Answer» B. SIDBI | |
| 6. |
Financial lease introduced in India by................... |
| A. | Tata group |
| B. | Reliance group |
| C. | Chidambaram group |
| D. | Murugappa group |
| Answer» D. Murugappa group | |
| 7. |
Underwriting of shares by a financial intermediary is a kind of ————— activity. |
| A. | Fee based |
| B. | Fund based |
| C. | Both of these |
| D. | None of these |
| Answer» C. Both of these | |
| 8. |
A mutual fund in which shares are issued only when the fund is organized is called a________fund. |
| A. | Closed-end. |
| B. | Load. |
| C. | No-load |
| D. | Open-end |
| Answer» B. Load. | |
| 9. |
The money market where debt and stock are traded and maturity period ismore than a year is classified as…. |
| A. | short term markets |
| B. | capital markets |
| C. | long term markets |
| D. | money market |
| Answer» C. long term markets | |
| 10. |
…………… banks were establishment mainly due to the development of tradewith our countries. |
| A. | Foreign Banks |
| B. | Organised Banks |
| C. | Scheduled Banks |
| D. | none of these |
| Answer» B. Organised Banks | |
| 11. |
Disclosed factoring is also known as |
| A. | Recourse factoring |
| B. | Non-recourse factoring |
| C. | Agency factoring |
| D. | Notified factoring |
| Answer» E. | |
| 12. |
The stock or shares that are also sold to investors without transacting through financial institution are classified as |
| A. | direct transfer |
| B. | indirect transfer |
| C. | global transfer |
| D. | home transfer |
| Answer» B. indirect transfer | |
| 13. |
The asset generally not suitable for securitisation is ______________. |
| A. | Receivables from government department |
| B. | Trade receivables |
| C. | Hire purchase finance receivables |
| D. | Mortgage loans |
| Answer» C. Hire purchase finance receivables | |
| 14. |
Write the example of V C Fs of state financial institution. |
| A. | K S I D C |
| B. | T D I C I |
| C. | C V C F |
| D. | None of these. |
| Answer» B. T D I C I | |
| 15. |
A combination of forwards by two counterparties with opposite but matching need iscalled:. |
| A. | Swap |
| B. | Option |
| C. | Forwa |
| Answer» B. Option | |
| 16. |
According to IFRS, the term financial asset includes |
| A. | Cash or Cash equivalent |
| B. | Equity shares |
| C. | Contractual right to receive cash |
| D. | All the above |
| Answer» B. Equity shares | |
| 17. |
The currency notes of which of the following denominations are notprinted in India ? |
| A. | Rs. 5 |
| B. | Rs. 10 |
| C. | Rs. 50 |
| D. | Rs. 2500 |
| Answer» E. | |
| 18. |
.................. is pooling of small savings |
| A. | Mutual fund |
| B. | Insurance |
| C. | Credit rating |
| D. | Guarantee |
| Answer» B. Insurance | |
| 19. |
Lead merchant banker should advice the issuer to enter into ‐‐‐‐‐‐‐‐ with aparticular intermediary for the purpose of issue management. |
| A. | Memorandum of understanding |
| B. | R O C |
| C. | Agreement |
| D. | Arrangement. |
| Answer» B. R O C | |
| 20. |
…………….these banks are controlled by the Government. |
| A. | Public Sector Banks |
| B. | Organised Banks |
| C. | Scheduled Banks |
| D. | none of these |
| Answer» B. Organised Banks | |
| 21. |
Banking Regulation Act was passed in the year |
| A. | 1969 |
| B. | 1935 |
| C. | 1948 |
| D. | 1949 |
| Answer» E. | |
| 22. |
The additional finance provided by VCFs to overcome fledging stage iscalled ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐. |
| A. | Second round financing |
| B. | ) first round financing |
| C. | seed capital |
| D. | None of these. |
| Answer» B. ) first round financing | |
| 23. |
No security is insisted upon .................loan |
| A. | Housing |
| B. | Education |
| C. | Vehicle |
| D. | Personal |
| Answer» C. Vehicle | |
| 24. |
The second approach in the application of Zero-based Budgeting (ZBB) is toidentify and remove duplication or expenditure. |
| A. | Multiplication |
| B. | Divided |
| C. | Adding |
| D. | triple |
| Answer» B. Divided | |
| 25. |
.............. Is an “invoice based export finance” technique. |
| A. | International factoring |
| B. | Disclosed factoring |
| C. | Agency factoring |
| D. | Notified factoring |
| Answer» B. Disclosed factoring | |
| 26. |
……………. this market is dominated by government, banks, and financialinstitutions. |
| A. | money market |
| B. | Capital Market |
| C. | Organised Market |
| D. | Unorganised |
| Answer» B. Capital Market | |
| 27. |
Investment banks facilitate the sale of securities in the __________. |
| A. | Primary market. |
| B. | Secondary market |
| C. | Retail market. |
| D. | Wholesale market. |
| Answer» B. Secondary market | |
| 28. |
Who amongst the following is the chief of SEBI? |
| A. | Milind Bhave |
| B. | UK Sinha |
| C. | Shashikath Verma |
| D. | Shyamala Gopinath |
| Answer» C. Shashikath Verma | |
| 29. |
The market performance of mutual fund can be judged on the basis of |
| A. | Net asset value or intrinsic value |
| B. | Capital appreciation |
| C. | Regular / stable income |
| D. | Any of these |
| Answer» B. Capital appreciation | |
| 30. |
Fourth-Round of venture capital financing is also called…………... |
| A. | Seed capital |
| B. | Mezzanine finance |
| C. | Bridge finance |
| D. | None of these |
| Answer» D. None of these | |
| 31. |
Non banking financial institutions (NBFIs) are registered under |
| A. | RBI Act |
| B. | Banking Regulation Act |
| C. | Companies Act |
| D. | SEBI Act |
| Answer» D. SEBI Act | |
| 32. |
Fee based financial services are also known as........... |
| A. | fund based |
| B. | capital based |
| C. | non- fund based |
| D. | cash based |
| Answer» D. cash based | |
| 33. |
The present structure consists of domestic mutual funds sponsored by the…………… |
| A. | UTI |
| B. | LIC |
| C. | NFCs |
| D. | IFS |
| Answer» B. LIC | |
| 34. |
Situation of resource crunch when demands for desirable expenditure arefar ………………….. the available resources. |
| A. | out stripping |
| B. | in stripping |
| C. | overlapping |
| D. | none of these |
| Answer» B. in stripping | |
| 35. |
RBI Act passed in the year |
| A. | 1934 |
| B. | 1935 |
| C. | 1936 |
| D. | 1949 |
| Answer» B. 1935 | |
| 36. |
Andhra bank and Central bank of India introduced credit card in India in |
| A. | 1991 |
| B. | 1981 |
| C. | 1984 |
| D. | 1990 |
| Answer» C. 1984 | |
| 37. |
The type of market in which securities with less than one year maturity aretraded is classified as… |
| A. | money market |
| B. | capital market |
| C. | global market |
| D. | Stock exchange. |
| Answer» B. capital market | |
| 38. |
………………………. are differ from Non-financial Business organization. |
| A. | Financial Institutions |
| B. | head offices |
| C. | Branches |
| D. | none of these. |
| Answer» B. head offices | |
| 39. |
Exchange traded funds give investors joint benefits of ……. And …… mutualfund. |
| A. | close end & open end |
| B. | Surplus & capital |
| C. | Closed end & hybrid |
| D. | No load & balanced |
| Answer» B. Surplus & capital | |
| 40. |
Interest on Government secu-rities on fixed basis is known as: |
| A. | Bank rate |
| B. | Coupon |
| C. | Prime Lending Rate |
| D. | Bench mark PLR |
| Answer» B. Coupon | |
| 41. |
------ is the venture capital assistance at the stage of development of business idea |
| A. | Start up capital |
| B. | Mezzanine capital |
| C. | Bridge capital |
| D. | Seed capital |
| Answer» E. | |
| 42. |
………is keeps the safe custody of the valuables of customers or clients orinvestors. |
| A. | Custodian |
| B. | Registrar |
| C. | Trader |
| D. | Institutes |
| Answer» B. Registrar | |
| 43. |
Find out odd one.. |
| A. | Fund based activity |
| B. | Fee based activity |
| C. | Modern activities |
| D. | Purchase of raw materials. |
| Answer» E. | |
| 44. |
‐‐‐‐‐‐ is the opinion of the rating agency on the relative ability and willingness of the issuer of by instrument to meet the debt service obligations as and when they arise. |
| A. | Credit rating |
| B. | rating by merchant banker |
| C. | merit rating |
| D. | operating feed back. |
| Answer» B. rating by merchant banker | |
| 45. |
‐‐‐‐‐‐‐‐‐‐‐‐‐‐ is needed for developing a product in the initial stages. |
| A. | Seed capital |
| B. | Startup capital |
| C. | Second round financing |
| D. | None of these. |
| Answer» B. Startup capital | |
| 46. |
................. Leasing companies are formrd to promote the sale of its parent company |
| A. | Leverage |
| B. | Financial |
| C. | Vendor |
| D. | Swap |
| Answer» D. Swap | |
| 47. |
The first foreign bank which started Merchant Banking services in India is ___________. |
| A. | City Bank |
| B. | Bank of America |
| C. | The Federal Bank |
| Answer» E. | |
| 48. |
_______ are financial assets |
| A. | Bonds. |
| B. | Machines |
| C. | Stocks. |
| D. | A and C. |
| Answer» B. Machines | |
| 49. |
Which of the following is not related to securitisation process? |
| A. | Special purpose vehicle |
| B. | Credit rating agency |
| C. | Credit enhancer |
| D. | None of these. |
| Answer» E. | |
| 50. |
Which of the following is /are example of primary or direct financial instrument |
| A. | Fixed deposit receipt |
| B. | Insurance policies |
| C. | Mutual fund Unit |
| D. | Debentures |
| Answer» E. | |