Top 150+ Solved Advanced Financial Management 2 MCQ Questions Answer

From 91 to 105 of 148

Q. The purchase and sell of which of the following instrument is effected throughSubsidiary General Ledger (SGL) account?

a. Treasury Bills

b. Options

c. Equity Shares

d. All of the Above

  • a. Treasury Bills

Q. Minimum Subscription amount of a Certificate of Deposit is ___________.

a. Rs. 25,000

b. Rs. 50,000

c. Rs. 1,00,000

d. Rs. 5,00,000

  • c. Rs. 1,00,000

Q. Which instrument was introduced in year 1990 with a view to enable highly ratedcorporate borrowers to diversify their sources of short-term borrowings?

a. Certificate of Deposit

b. Commercial Paper

c. Commercial Bill

d. None of the Above

  • b. Commercial Paper

Q. When money is lent for more than a day and up to 14 days it is called as __________

a. Demand Money

b. Call Money

c. Put Money

d. Notice Money

  • d. Notice Money

Q. _______________ is an important tool to finance credit sales?

a. Commercial Bill

b. Commercial Paper

c. Certificate of Deposit

d. None of the Above

  • a. Commercial Bill

Q. Which instrument involves high risk and high returnsand helps corporates in solvingtemporary capital crisis without many formalities?

a. Equity Shares

b. Term Loan

c. Inter-corporate Deposits

d. All of the Above

  • c. Inter-corporate Deposits

Q. Which of the following are money market instruments?

a. Treasury Bills

b. Commercial Bills

c. Call Money

d. All of the Above

  • d. All of the Above

Q. What is the full form of CRISIL?

a. Credit Rating and Investment Services of India Limited

b. Credit Rating Information Services of India Limited

c. Credit Rating Institution for Small Industries Limited

d. Credit Rating Information Sector of India Limited

  • b. Credit Rating Information Services of India Limited

Q. ICRA was incorporated in which year?

a. 1990

b. 1991

c. 1992

d. 1993

  • b. 1991

Q. The concept of Credit Rating was originated in which country?

a. UK

b. USA

c. Russia

d. UAE

  • b. USA

Q. Which was the first ever instruments that was rated?

a. US Rail Road Bonds

b. UK Rail Road Bonds

c. US Mines Bonds

d. None of the Above

  • a. US Rail Road Bonds

Q. Which of the following is NOT true with respect to Credit Rating

a. Credit Rating helps the market regulators in promoting stability and efficiency in securities market.

b. Credit Rating helps issuers to have a wider access to capital with better pricing

c. Credit Rating saves the investor’s time and enables him to take quick decision.

d. Credit Rating is a recommendation for the issuers to buy, sell or hold the security.

  • d. Credit Rating is a recommendation for the issuers to buy, sell or hold the security.
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