Question 1

-------- is the suitable method where small companies issue shares

Accepted Answer

A) Offer for sale 
B) Private placement 
C) Issue by prospectus 
D) All the above

Question 2

Which of the following are examples of Hundis in india

Accepted Answer

A) Shah jog 
B) Namjog 
C) Jokhani 
D) All the above

Question 3

In India, indigenous bills popularly known as

Accepted Answer

A) Time bills 
B) Hundis 
C) Trade bills 
D) Sight bills

Question 4

The number of shares which are less than market lots are called

Accepted Answer

A) Grey lot 
B) Odd lot 
C) Tag lot 
D) Tied lot

Question 5

------------ market deals in unlisted securities

Accepted Answer

A) Blue chip market 
B) Bear market 
C) Grey market 
D) Bull market

Question 6

Gilt Edged Securities are

Accepted Answer

A) Govt. Securities 
B) Company's securities 
C) Any of the above 
D) None of these

Question 7

Bill Market Scheme in India was introduced in the year

Accepted Answer

A) 1972 
B) 1952 
C) 1969 
D) 1982

Question 8

Speculator who neither buy nor sell securities in the market, but still trade on them are called

Accepted Answer

A) Wolves 
B) Stag 
C) Bull 
D) Bear

Question 9

Demand bills are also known as

Accepted Answer

A) Time bills 
B) Sight bills 
C) Kite bills 
D) Wind bills

Question 10

Zero interest bonds are always issued

Accepted Answer

A) At premium 
B) At discount 
C) With detachable warrant 
D) Any of the above

Question 11

................ bonds permit the bond holder to invest the interest income again in host bonds

Accepted Answer

A) Deep discount bond 
B) Junk bonds 
C) Bearer bond 
D) Bunny bonds

Question 12

The market which helps commercial banks to maintain their SLR requirement is

Accepted Answer

A) Call loan market 
B) T-bills market 
C) Acceptance market 
D) Commercial bill market

Question 13

--------------is also known as "G.Secs"

Accepted Answer

A) Gold Traded Fund (GTF) 
B) General Securities 
C) Govt. Securities 
D) Growth oriented fund

Question 14

...............bonds are high risk and high yield bonds developed in USA

Accepted Answer

A) Deep discount bond 
B) Junk bonds 
C) Bearer bond 
D) Bunny bonds

Question 15

When purchases of securities are more than sales of securities, the market is called

Accepted Answer

A) Bullish 
B) Bearish 
C) Grey 
D) Odd

Question 16

The small investors' gateway to enter into big companies is -----

Accepted Answer

A) Equity shares 
B) Preference shares 
C) Bonds 
D) Mutual fund

Question 17

The process of holding the entire supply of a particular security with a view to dictating terms is called

Accepted Answer

A) Cornering 
B) Wash sales 
C) Rigging 
D) Arbitrage

Question 18

The facility to carry forward a transaction from one settlement period to another is called --- ------ transaction

Accepted Answer

A) Hand delivery 
B) Badla 
C) Cornering 
D) Arbitrage

Question 19

-------- is a guarantee for marketability of shares

Accepted Answer

A) Listing 
B) Underwriting 
C) Registration 
D) Issue by prospectus

Question 20

A person appointed by a stock broker to assist to him in the business of securities trading at trading floor of stock exchanges is

Accepted Answer

A) Sub-broker 
B) Commission broker 
C) Authorised clerk 
D) Remisiers

Exam 10: Exploring the Basics of Financial Markets and Securities