Class 12 Business Studies Chapter 10 Financial Markets Quiz 23 (60 MCQs)

Quiz Instructions

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1. Type of market in which financial instruments with up to 1 year maturity are traded is called:
2. True or False:Riskier investments can have higher profits, but also greater losses.
3. The secondary market deals with:
4. How many companies are included in the SENSEX of India?
5. A ..... is defined as a collection of financial assets.
6. Which of the following banks are insured by the DICGC?
7. What factors influence stock prices?
8. Which recent development has made it easier for individuals to engage in speculation?
9. For a firm to have its securities listed on an exchange, it must meet certain requirements. These usually include measures of profitability, size, market value, and public ownership.
10. Money market where debit and stocks are traded and maturity period is more than a year is classified as
11. Insurance that protects your family against financial loss due to your death is
12. RBI was established in the year:
13. A high Price-Earnings (P/E) ratio usually indicates that investors expect:
14. ..... is providing loans, guarantees, risk management products, and advisory services to low and middle income countries.
15. What is the function the NEAT system?
16. Kimchi Premium is:
17. The allocated function is performed by
18. Piece of ownership in a company, mutual fund or other investment
19. The main characteristics of money market transactions which enables it to have active secondary market are:
20. Equity Markets are regulated by
21. If there is any uncertainty with respect to the future payment, the investor would require return over and above the nominal rate of return. The additional component is called
22. What is the Full form of CRISIL
23. To meet floatation cost, firms generally issue the following instrument of moneymarket.
24. When inflation is rising, the Central bank would normally:
25. Which of the following methods enable trader to avoid delivery of commodity in a future transaction?I ArbitrageII HedgingIII Credit saleIV Spot trading
26. The instrument used in capital market is
27. It is important that young people start saving & investing early because of
28. Who issues currency notes in India?
29. A company can raise capital through the primary market in the form of
30. Which segment deals in government securities?
31. What is a Eurobond?
32. The process of determining price based on investors' bids is called:
33. Which of the following has the highest risk?
34. How much will an initial deposit of $ 300 accumulate in an account with 12% interest compounded monthly for five years?
35. How does diversification help in investment strategies?
36. Which market directly contributes for capital formation and increase in capital offirms?
37. What is the main purpose of the stock market?
38. 'Ask' means the .....
39. Banks face the problem of ..... in loan markets because bad credit risks are the ones most likely to seek bank loans.
40. The Gramm Leach Bliley Act requires:
41. Who regulates the securities market in India?
42. If a U.S. firm will need C$ 200, 000 in 90 days to pay for imports from Canada and it wishes to avoid the risk from exchange rate fluctuations, it could:
43. What role do financial markets play in the economy?
44. When the value of the British pound changes from $ 1.50 to $ 1.25, the pound has ..... and the dollar has .....
45. What is called when a company issues stock for the first time and may be bought by the general public?
46. Because borrowers, once they have a loan, are more likely to invest in high-risk investment projects, banks face the
47. How do retail banks make a profit?
48. Which of the following is NOT a characteristic of a well-functioning financial market?
49. Shares of stock from a variety of companies that you own are called?
50. What type of information can you find in the Inquiry Window?
51. Which of the following is NOT the benefits of financial intermediaries?
52. This money market instrument is used by banks to maintain their cash reserve ratio
53. Imagine you are studying the stock market and you come across a market where each transaction is scheduled at specific time intervals. What is this type of market called?
54. Plunging oil prices is an example of which of the following types of investment risk?
55. The National Stock Exchange was established on
56. Money market is a market for
57. The major liabilities of the commercial banks are?
58. Exchange markets and over counter markets are considered as two types of
59. What are investment banks?
60. The Nigerian Stock Exchange was established in: