CAPITAL MARKET MCQ WITH ANSWERS
ANSWERS ARE GIVEN BELOW THE QUESTION
1.
The
market dealing in the long and medium term funds is known as?
a)
Financial Market
b)
Money Market
c)
Capital Market
d)
Secondary Market
2.
The
Securities and Exchange Board of India was constituted in?
a)
April, 1988
b)
March, 1982
c)
July, 1992
d)
Dec. 1974
3.
According
to Securities Contract(Regulation) Act, 1956 the term ‘ Securities include:
a)
Government securities
b)
Rights or interest in
securities
c)
Shares, scrip’s,
stocks, Bonds, debenture stock or marketable securities
d)
Such other instruments
as may be declared by Central Government to be securities
e)
All of these
f)
None of these
4.
Which
section of the Securities Contracts (Regulation) Act enlists grant of
recognition to stock exchanges?
a)
Section 4
b)
Section 2
c)
Section 3
d)
Section 5
5.
Who
is the current Chairman of the SEBI?
a)
U.K. Sinha
b)
Ajay Tyagi
c)
T.S. Vijayan
d)
A.K. Mathur
6.
A
merchant bank is a financial institution conducting money market activities
and:
a)
Lending
b)
Underwriting and financial
advice
c)
Investment service
d)
All of the above
e)
None of the above
7.
In
India Merchant banking along with management of public issues and loan
syndication covering activities like-
a)
Project counselling
b)
Portfolio management
c)
Investment counselling
d)
Mergers and
amalgamation of the corporate firms
e)
Securities and exchange
i)
a,b,d,e
ii)
a,b,c,d
iii)
b,c,d,e
8.
Types
of Institutional Investors Includes:
(a) Mutual
funds
(b) Endowment
fund
(c) Insurance
company
(d) Commercial
banks
(e) All
of these
(f)
None of these
9.
SEBI
Act was passed in ___________.
(a) 1988 (b) 1990 (c) 1991
(d) 1992
10.
The
objectives of SEBI include ___________.
(a) To
protect interests of inventors
(b) To
regulate securities market
(c) To
promote the development of the market
(d) All
of the above
11.
The
regulatory body for the securities market in India is __________.
(a)
RBI (b) SEBI (c) IRDA (d) Stock exchanges.
12.
Equity
shares and preference shares are ownership securities, also known as ___________
(a)
Debt capital (b) Capital
stock (c) Fixed capital
(d) Capital issue
13.
Bonds,
debentures etc. are creditor ship securities, also known as ___________.
(a)
Debt capital (b) Capital stock (c)
Working capital
(d) Capital issue
14.
The
companies Act (Sec. 85) describe preference shares as those which carry a
___________right to payment of dividend during the life time of the company.
(a)
Dividend (b) Interest (c) Preferential
(d) Priority
15.
Debenture
is a____________ instrument issued by the company with a promise to pay
interest and repay the principal on maturity.
(a) Credit (b) Debt (c) Cash (d) Negotiable
16.
Underwriters
charge a commission for their service which is known as ____________.
a)
Commission
b)
Penalty
c)
Underwriting charge
d)
Underwriting commission
17.
The
market dealing in the long and medium term funds is known as
a)
Financial Market
b)
Money Market
c)
Capital Market
d)
Secondary Market
18. Stock broker means a member of a ____________.
(a)
SEBI (b) RBI (c) SBI (d) Stock exchange
19.
Market
for borrowing and lending short term funds is called ___________
(a) Money market
(b) Capital market (c)
Derivative market (d) Forex market
20.
Who
controls money market?
(a)
RBI (b) SBI (c) DFHI (d) SIDBI
21. A person
Appointed by a stock broker to assist him in the business of securities trading
is called
a)
Sub brokers
b)
Commission brokers
c)
Tarawaniwalas
d)
Jobbers
22.
Which
of the following statement is not true with regard to capital market?
a)
The funds are raised
for a short period of time.
b)
Both debt and equity
funds can be raised.
c)
It is classified into
two types
d)
All of the above
23.
Which
of the following statements is not true with regard to primary market?
a)
It is known as the old
issues market
b)
It facilitates the
transfer of investible funds from savers to entrepreneurs
c)
It deal with new
secrutities being issued for the first time
d)
It facilitaes the
transfer of investible
24.
The
capital market consists of
a.
Development banks
b.
Commercial banks
c.
Stock exchanges
d.
All of the above
25.
What
is called “Blue Chip”?
a)
Companies which are run
by large corporate houses
b)
A company whose shares
always provides profit
c)
A multination company
d)
A company which is
listed on a foreign stock exchange
26.
A
company can raise capital through the primary market in the form of
a)
Equity shares
b)
Preference shares
c)
Debentures
d)
All of the above
27.
Market
makers are intermediaries appointed by ___________ to sell or buy its
securities at any time as per agreed contract.
(a) RBI
(b) Stock exchange (c)
Company (d) None of these
28.
The
process of artificially increasing or decreasing the price is known as ____________
(a) Price bond (b) Price rigging (c) Cover system (d) none of these
29.
_________is
a market where unlisted securities are dealing.
(a) Grey market
(b) Kerb market (c) Capital
markets (d) None of these.
30.
Two
types of pension funds includes:
a)
Define Benefit funds
b)
Define Contribution
funds
c)
Maturity funds
d)
Both (a) and (b)
31.
Which
of the following are the major instruments of the money market
a)
Call money
b)
Treasury bill
c)
Trade bills
d)
Comercial paper
e)
All of these
f)
None of these
32.
Business
enterprises, public enterprises and governments are the major ___________ in
capital market.
a)
Suppliers
b)
Borrowers
c)
(a) and (b) both
d)
Neither (a) Nor (b)
33.
Treasury
Bills are basically
a)
An instrument to borrow
short term funds
b)
An instrument to borrow
long term funds
c)
An instrument of
capital market
d)
None of the above
34.
Types
of Brokers in Stock Exchange Includes:
a)
Commissioned brokers
b)
Floor brokers
c)
Jobbers
d)
Tarawaniwalas
e)
All of these
f)
None of the above
g)
Only (a)
35.
Sub-brokers
are also called
a)
Remisiers
b)
Odd lots dealer
c)
Arbitrageurs
d)
Speculators
36.
_________are
commonly known as broker firm that provides purchase and sale options from
investors in order to keep the financial markets volatile. They can also be an
individual intermediary/broker.
a)
Market maker
b)
Institutional Investors
c)
Brokers
d)
Investors
37.
A____________
is also known as a dealer
a)
Market maker
b)
Institutional investor
c)
Merchant banker
38.
Types of Market Makers includes:
a)
Principal Market Makers
b)
Additional Market
Makers
c)
Suspicious marker maker
d)
Speculative market
makers
e)
Both (a) and (b)
f)
All of these
g)
None of the above
39.
__________offer
to buy and sell stock quotes for a period of almost 18 months from the
commencement of the initial trading.
a)
Principal Market Makers
b)
Additional Market
Makers
c)
Suspicious marker maker
d)
Speculative market
makers
40.
____________
normally buy and sell stock quotes for a period of almost one year from the
actual commencement of initial trading.
a)
Additional Market
Makers
b)
Suspicious marker maker
c)
Speculative market
makers
d)
Principal Market Makers
41.
Role
of Market Makers are
a)
Liquidity
b)
Stabilizing Spread
c)
Matching Orders
d)
All of these
e)
None of these
42.
___________ is termed as the lifeblood of a firm.
(a) Employee (b) Finance (c) Management (d) Technology
43.
Refers to the activity of transforming savings into investment.
a)
Resource
development
b)
Capital formation
c)
Credit syndication
d)
None of these
44 ___________
is the trading of securities of a company by individuals who are in some way
connected with the company and has to non‐public price sensitive information
about the company.
a) Speculative trading b) Hedging
c) Insider
trading d)
Internal trading
45.
Origination, underwriting and distribution are the 3 main services of ___________
market.
(a) Capital market (b)
Secondary market (c) SEBI (d)
Primary market
46.
Bonus issues are the issue of shares to ___________ out of the free reserves of
the company.
a)
Existing shareholders
b)
New shareholders
c)
None of these
d)
All of them
47.
Net Tangible assets means all net assets
excluding ___________ assets.
(a)Tangible assets (b) Intangible assets
(c) Total assets (d) None of these
48
.Convertible preference shares can be converted to equity shares at the option
of the holder, so these shares are also known as ___________.
a)
Fully Convertible
preference share
b)
Participating
preference shares
c)
Conversion of
preference shares
d)
Quasi equity
shares
49
.Government securities are also called ___________ because of the safety and
security of investments made in them and regularity of return.
(a) Gift‐edged
securities
(b) Long
term securities
(c) Short
term securities
(d) Investments
50.
Is a professional independent broker who deals in securities on his own behalf.
(a) Arbitrage (b) Jobber (c) Odd lots (d) none of these
51.
The ratio of financial assets is ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of economic growth.
a) An indicator (b) the market value (c) the basis (d) the prestige value
52.
____________ is an independent body to assist the
regulators in framing and
administering regulating
in the capital market. E.g. Finance industry
development council.
(a)
SNO (b)
SRO (c) RBI (d) SEBI
53.
Market makers are intermediaries appointed by ______________to sell or buy its
securities at any time as per agreed contract.
(a) RBI (b) Stock exchange (c) Company (d) None of these
54.
Market for borrowing and lending short term funds is called ___________
(a) Money market (b) Capital market (c) Derivative market (d) Forex market
55.
Who controls money market?
(a) RBI (b) SBI (c) DFHI (d) SIDBI
56.
Which of the following markets help RBI in implementing its monetary policies?
(a) Money market (b) Capital market (c) Forex market (d) Debt market
57.
Which of the following debt instrument is issued by large credit worthy
companies as a means for financing their working capital needs?
(a) CP (b) CD (c) IBPC (d) Commercial bills
58.
Money market deals with:
(a) Short term funds (b) Long term funds (c) Ownership funds (d) Credit rating
59.
What is the minimum issue size of commercial papers?
(a) 10 lakh (b) 5 Lakh (c) 5crore (d) 2 lakh
60.
Certificate of deposits were introduced in the Indian market in ____________
a) 1989 (b) 1990 (c) 1991 (d) 1988
61.
The maturity period of CDs issued by banks varies from _____________
(a) 7 days to 1 year (b) 7 days to 3 years
(c) 1 day to 1 year (d) 1 and 3 years
62.
An instrument to fund the short term needs of banks
through inter‐bank
participation.
(a) CDs (b) Inter Bank Repo
(c) CPs (d) IBPCs
63.
The CRISIL rating needed for corporates to issue a commercial paper.
(a) CRISIL P-1 (b) CRISIL P-2 (c) CRISIL P-3
(d) None of these
64. Which of the following
is the special Features of Primary Market
a)
Securities are sold by
the existing investor to another investors
b)
The intending buyer and
seller can buy and sell securities through brokers
c)
Securities are issues
directly to investor
d)
The market do not
directly contribute to capital formation
65. Listing of securities means
a)
The renewal of
securities in stock exchange
b)
The admission of
securities of a company to trading on a stock exchange
c)
The removal of
securities from the stock exchange
d)
All of the above
66. In case of listing of securities the company
must offer for public subscription at least
a)
20 percent of its
issued capital
b)
35 percent of its
issued capital
c)
25 percent of its
issued capital
d)
40 percent of its
issued capital
67. Which of the following are the promoters of
National
Stock Exchange of India
a)
Industrial Development
Bank of India
b)
Central Bank of India
c)
Canara Bank
d)
Allahabad Bank
e)
Both (a) and (c)
f)
Both (b) and (c)
g)
Both (a) and (d)
68. Listing is mandatory for ____________.
a)
Trading in stock market
b)
Marketing a new issue
c)
Trading in
international markets
d)
Declaring dividend
69. Permanent removal of securities of a company
from the stock exchange.
(a) De-listing
(b) Re‐ listing (c)
Listing (d) None of these
70. A fresh issue or
offer for sale of securities made by a listed company to the public is called
____________.
(a) FPO (b) IPO (c) DPO (d) None of these
71.
A prospectus which does not have details of either price or number of shares
offer or the amount of issue.
a)
Red herring prospectus
b)
Statement in lieu of
prospectus
c)
Shelf prospectus
d)
None of these
72.Insider trading means____________.
a)
Purchase of securities
by owners of the company
b)
Taking advantage of
internal price sensitive information for trading
c)
Trade for purchase of
shares only by employees
d)
Investors sell their
financial paper to relatives of the firms.
73. The fraudulent and
unfair trade practices relating to securities market regulation in 2003 was
passed to prohibit --------------------.
a)
Insider trading
practices
b)
Brokers from illegal
trading
c)
Foreign institutional
investors in the market
d)
Manipulation of prices
and misleading statements
74. A company can raise
capital through the primary market in the form of
a)
Equity shares
b)
Preference shares
c)
Debentures
d)
All of the above
75. A market for
borrowing and lending funds for a period exceeding 14 days.
a)
Term money market
b)
Call money market
c)
Commercial bill
market
d)
None of these
76. An offer documents
in case of public issue is _________
a)
prospectus
b)
Statement in lieu of
prospectus
c)
Shelf prospectus
d)
None of these
77. An investor who
applies or bids for securities for a value not more than Rs.2 lakh.
a)
Retail individual
investor
b)
Qualified institutional
buyer
c)
Non‐ institutional
investor
d)
None of these
78. A pricing mechanism
for new issues based on assessment of market demand.
(a) Book buiding
(b) Green shoe option (c) Fixed
price issue (d) None of these
79. Time limit for allotting securities from the
date of closure of the issue is ________.
(a) 15 days
(b) 30 days (c)
45 days (d) None of these
80. In case of a retail outlets of book built
issue, the allocation investor should not be_________.
(a) Less than 35%
(b) More than 35% (c) Less
than 10% (d) None of these.
81.
MMMF stands for __________
a) Money Market Mutual Funds
b) Monetary Market Mutual Funds
c) Money Medium Mutual Funds
d) None
of these
82 .Trading procedure
under stock market includes:
a)
Appointing Board of
Director
b)
Placing order
c)
Opening demat account
d)
Execution of the order
(i) a, b, c
(ii) b,c, d
(iii) a, c, d
(iv) a,b,d
83 .___________Where is
New York Stock exchange Located?
a)
Broadway
b)
Empire State Building
c)
Times Square
d)
Wall Street
84. The National Stock
Exchange was incorporated in
a)
November 1991
b)
November 1992
c)
November 1993
d)
November 1994
85. The largest stock
exchange in the world
a)
NASDAQ Stock Exchange
b)
London Stock Exchange
c)
New York Stock Exchange
d)
Tokyo Stock Exchange
86. Which of the
following statement is not true with regard to stock exchange?
a)
It provides a platform
for buying and selling of new securities
b)
It curbs the
marketability of the securities
c)
By providing a ready
market it extends liquidity to the securities
d)
It provides a platform
for buying and selling of old securities
87. What are the objectives
of OCTEI?
a)
Protecting interest of
investors in securities
b)
Promoting development
of securities market
c)
Regulating securities
market
d)
All of these
88.
Devise
adopted to make profit out of the difference in prices of a security in two
different markets is called ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐.
(a) Arbitrage
(b) Margin trading (c)
Call option (d) None of these
89.
The
number of store which is less than the standard unit is called
‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐.
(a) Arbitrage
(b) Margin trading
(c) Odd lots (d) None of
these
90.
A
person appointed by a stock broker to assist him in the business of securities
trading is called-----
a) Sub broker (b) Tarawaniwalas (c) Authorized clerk (d) None of these
91.
Member
of stock exchanges is called ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐.
(a) Stock broker
(b) Investor (c)
Issuer
(d) None of these
92. Buy and sell
securities on behalf of the investing public.
(a) Arbitrage (b)
Commission brokers (c) Stock
broker
(d) None of these
93. Risk involved in
gambling is ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐
a) Low b) High c)
Very high d) None
94. The process of
artificially increasing or decreasing the price is known as__________
a) Price bond b) Price rigging c)
Cover system
d) None
95 .National stock exchange operations are divided
into ‐‐‐‐‐‐‐‐‐‐‐ and capital market segment.
a)
Whole sale debt
market
b)
Money market
c)
Secondary market
d)
None of these
96.Bull and
‐‐‐‐‐‐‐‐‐‐‐‐‐‐ are speculators.
(a) Bear (b)
Cow (c) Lion (d) None of these
97.
The first stock exchange in India was started in ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐.
(a) 1875
(b) 1885 (c) 1895 (d) 1865
98. Which was the first Indian company to list on
New York Stock Exchange
a) ICICI Bank b) Wipro c) TATA
Motors
d) Infosys
99. The settlement
cycle in NSE IS
a) T+5 b)
T+3 c) T+2 d) T+1
100. Which of the
following might be a reason for a stock market to lose value suddenly?
a)
A big company going
bankrupt
b)
Fear of a global
recession
c)
A terrorist attack
d)
All of these.
101.Which term most
accurately describe selling shares at a higher price than the price at which
they were bought
a)
Loss
b)
Profit
c)
Asset
d)
Dividend
102.Which term is used
to describe a payout made to shareholders representing their share of a
coporation’s profit?
a)
Jackpot
b)
Dividend
c)
Lovely
d)
Jubbly
e)
Coupon
103.Odd lot trading
a)
Trading in multiple of
100 stocks or less
b)
Trading in mutliples of
100 stocks or more
c)
Trading in multiples of
200 stocks or less
d)
Trading in multiples of
200 stocks or more
104 .Which of the following is not the features
of NSEI
a)
Nationwide Coverage
b)
Ringless
c)
Screenless trading
d)
Tranparency
105 .Bulls and bears
are -------------.
a)
Ordinary investors
b)
Government agencies
c)
Money lenders
d)
Speculators
106.
The
present rolling settlements cycle T+2 are introduced in ---------------.
(a) 2003
(b) 2001 (c)
2000 (d) 2008
107.
In
which year NSE was incorporated as a tax paying company unlike other stock
exchange in the country
a)
1992
b)
1990
c)
1991
d)
1994
108. NSE commenced
operations in the wholesale debt market segment in June______________
109. NSEI
commenced operations in the capital market (Equities) segment in November
__________
110.
Which
of the following are the special features of OTCEI
a)
No trading floor
b)
Greater transparency
c)
Faster settlement
d)
All of these
e)
None
111.
Stock
Exchanges is known as _______________ Secondary market for securities
a)
Primary market
b)
Secondary market
c)
Capital market
d)
None of these
112.
When
trade confirmation is slips issues to the investor?
a)
On placing an order
b)
On execution of the
order
c)
On settlement of the
order
d)
None
113.
In
which market transactions are done through computers and telephone without any
specific location?
a)
Over the counter
markets
b)
Past counter markets
c)
Future counter markets
d)
Capital counter market
114.
The
mandatory details that an investor has to provide to the broker at the time of
opening a demat account is
a)
Date of birth and
address
b)
PAN number
c)
Residential Status
d)
Bank Account details
115.
On
this day, the Exchange will deliver the share or make payment to the other
brokers
a)
Pay-in day
b)
Pay-out day
c)
Transaction day
d)
None of the above
116.
The
basic regulatory authority for mutual funds and stock market lies with the
a)
Stock Exchanges
b)
Reserve Bank of India
c)
Government of India
d)
SEBI
117.
Which
list is not an important feature of secondary market
a)
Accurate information
should be available timely basis
b)
Sufficient liquidity
c)
Efficient transaction
with high transaction cost
d)
All the information
should be reflected in stock within min time.
118.
_________It
is a number assigned to each transaction
by the stock exchange and is printed on the contract note
a)
PAN number
b)
Contract note
c)
Unique order code
d)
None of the above
119.
_____________
seek to protect them against price change in an asset in which they have an
interest.
a)
Hedger
b)
Bull
c)
Bear
120.
In
Bombay stock exchange ‘bear’ is also known as ___________
a)
Mandiwala
b)
Terawali
c)
tarwaniwalas
121.
Which of the following is a global stock
market index
a)
OCTEI index
b)
Nifty
c)
Sensex
d)
FSTE100
122.
In
India, a bull is also known as
a)
Mandiwala
b)
Tarawaniwalas
c)
Tejiwal
123.
Speculators
who neither buy nor sell securities in the market but still trade on them are
called
a)
Wolves
b)
Stags
c)
Bears
d)
None
124.
Are a class of alternative investments that
use pooled funds to generate above-market returns?
a)
Hedge fund
b)
Pension fund
c)
Endowment fund
125.
_______________Pension funds are a broad
investment category that pays for employee retirement commitments.
a)
Pension fund
b)
Hedge fund
c)
Endowment fund
126.
. ___________An endowment fund is a type of
investment set up by a foundation that withdraws money from invested capital.
These funds are typically used by universities, religious institutes and other
non-profit organizations to advance their cause or operating process.
a)
Edowment fund
b)
Pension fund
c)
Hedge fund
127.Money
market is instrument by the government to bridge the deficit between the
revenue and expenditure in the budget.
a) T‐bills
(b) Bonds
(c) CDs (d) CPs
128.
A loan for very short period is called _____________
a) Call loans (b) cash
loans (c) T‐bills (d) None of these
129.
An order for the purchase of securities of a fixed price is known as
__________.
(a) Limit order (b) Open
order (c) Stop loss
order (d) None of these
130. Most of the speculative purchases are made on
the basis of ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐.
(a) Margin trading (b) Arbitrage (c) Wash sale (d) none of these
131
____________ is a speculator expert’s
rise in price of a share is called ____________
(a)
Bull (b)
Bear (c) Stag (d) Lame duck
132.__________
is the fictitious transaction.
(a) Margin trading
(b) Arbitrage (c)
Wash sale (d) none of these
133.
Means artificially pushing up the market price of a particular security.
a) Rigging
(b) Cornering (c) Margin trading (d) none of these
134. Rigging activity is carried on by the
‐‐‐‐‐‐‐‐‐‐‐‐‐‐ speculators.
(a) Bull
(b) Swap (c)
Bear (d) Lame duck
135 _________issued by the central government or
state governments are referred to as government securities.
(a) Instruments (b) Securities (c) Bonds (d) Shares
136.Government
securities are issued through ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of RBI.
(a) Public debt office (b) SEBI (c) DFHI (d) Stock exchange
137.
RBI established __________in 1988 to perform the money market operations on its
behalf.
(a) SEBI
(b) RBI office (c)
DFHI (d) SBI
138. ____________is a unsecured promissory note issued with a fixed maturity, by a
company, and approved by RBI, maturity from 7 days to one year, issued at a
discount on the face value.
(a) Certificate of Deposits
(b) Treasury bill (c) Commercial
Bills (d) Commercial papers
139.
NBFCs
stand for ___________
a) Non Banking Fund
Company
b) Non-Banking Financial
Companies
c) Non -Banking Finance
Council
d) None of these
140.
The price at which market maker or dealer is prepare to buy
a) Strike
price
b) Bid
price
c) Exercise
price
141.The price at which
a market maker is willing to buy a security and the price at which it is
willing to sell the security
a) Spread
b) Bid
price
c) Strike
price
142.
A person who act as an intermediary between debenture holders and company is
called a ______________
a)
Debenture
holders
b)
Debenture
Trustees
143. ____________ is
the biggest market in the world because it is the base of all the activities
a) Bond
b) Equity
c) Debentures
144.
____________ invest with their own money
in the stock market
a) Retail
Investor
b) Institutional
Investor
c) Market
maker
145. After the trade has been executed, the broker
issues a Contract Note to the investor within
a) 52
hours
b) 24
hours
c) 12
hours
d) 48
hours
146. In which markets transaction are done through
Computers and Telephones without any specific location
(a)
Over the Counter market
(b)
Past counter market
(c)
Future counter market
(d)
Capital counter market
147. _______________ is also called Zero Coupon bond
a) Treasury
bills
b) Commerciaal
Papers
c) Certificate
of Deposits
148.Book building process is associated with
______________
a) Preference
share allotment
b) Right
Issue
c) Private
placement
d) IPO
149.What is the full form of NSE?
a) National
Stock Exchange
b) Bombay
Stock Exchange
c) Over
the Counter Exchange of India
150. What is the full form of BSE?
a) National
Stock Exchange
b) Bombay
Stock Exchange
c) Over
the Counter Exchange of India
151. _________________are financial institutions
that offer banking, lending and investment services to the general public with
the aim of earning profits.
a) Commercial
banks
b) Public
sector banks
c) Private
sector banks
152.
______________execute orders of their customers by buying and selling
securities on the exchange. They charged a specified commission on the purchase
or sale value. A commission broker does not buy or sell securities in his own
name. They deal with many clients and consequently with many securities.
a) Floor
brokers
b) Commission
Brokers
c) Jobbers
153.____________
are one step below the commission brokers. So his dealing is with the
commission brokers rather than with the clients. They execute the orders of
buying and selling raised buy the members.
a) Floor
brokers
b) Commission
Brokers
c) Jobbers
154.
In an initial public offer (IPO) the issue price is called
a) Cut off price
b) Floor price
c) Capped Price
155.The
minimum price at which bids can be made for IPO is called the
a) Cut off price
b) Floor price
c) Capped price
KEY ANSWER
1. Financial
market
2. April
1988
3. All
of these
4. Section
4
5. Ajay
Tyagi
6. All
of these
7. a,
b, c, d
8. Mutual
fund
9. 1992
10. All
of the above
11. SEBI
12. Capital
Stock
13. Debt
Capital
14.
Preferential
15. Debt
16. Underwriting
Commission
17. Capital
markets
18. Stock
Exchange
19. Money
market
20. RBI
21. Sub
Brokers
22. the
funds are raised for a short period of time
23. it
is known as old issues market
24. all
of the above
25.
a company whose shares always provides profit
26. all
of the above
27. Stock
exchanges
28. Price
rigging
29. Grey
Market
30.
Both (a) and (b)
31. All
of these
32. Borrower
33. An
instrument to borrow short term funds
34.
All of these
35. Remisiers
36. Market market
37. Market
maker
38. Both
(a) and(b)
39. Principal
Market makers
40. Additional
market maker
41. All
of these
42 Finace
43. Capital
formation
43. Insider
trading
44. Primary
market
45. Existing shareholder
46. Intangible
assets
47 Quasi
equity shares
48. Gift
edged securities
49.
Jobber
51 An
indicator
52. SEBI
53
Stock exchange
54
Money market
55. RBI
56. Money market
57. CP
58. Short term funds
59. 5 lakh
60
1989
61.
7 days to 1 year
62
IBPCs
63. CRISILP- 2
63.
Securities are issues directly to
investor
64. The admissions of securities of a company
to trading on a stock exchange
65.
25 percent of its issued capital
66.
Both (a) and (b)
67.
trading in stock market
68. Delisitng
69. FPO
70. Statement in lieu of prospectus
71. Taking advantage of internal price
sensitive information for trading
72. Manipulating of prices and misleading
statements
73. All of the above
74. Termmoney market
75.
Prospectus
76. Retail Individual Investor
77.
Book building
78.
30 days
79.
More than 35%
80. Money market mutual fund
82. b,
c, d
83. Wall
Street
84. Nov
1992
85. New
York Stock Exchange
86. It
curbs the marketability of the securities
87. All
of these
88. Arbitrage
89. Odd
lots
90. Sub
broker
91. Stock
broker
92. Commision
broker
93. Very
high
94. Price
rigging
95. Whole
sale debt market
96. Bear
97. 1875
98. ICICI
Bank
99. T+
2
100. All
of these
101. Profit
102. Dividend
103. Trading
in multiple of 100 stocks or less
104. Screenless
Trading
105. Speculators
106. 2000
107. 1992
108. 1994
109. 1994
110. All
of these
111. Secondary
market
112. On execution of order
113. Over
the Counter markets
114. PAN
number
115. Pay-out
day
116. SEBI
117. Efficient transaction with high transaction
cost