Top 350+ Solved Financial Markets and Institutions MCQ Questions Answer
Q. The agreement which incurs the transaction between two parties and promise held that secondparty will sell security at specific maturity is classified as
a. repurchasing commercial notes
b. repurchase bills
c. purchase agreement
d. reverse repurchase agreement
Q. ADR Stands for:
a. Asset Depository Receipt
b. Asian Depository Receipt
c. American Depository Receipt
d. Adjustable Depository Receipt
Q. SEBI operates to fulfill the needs of these three groups, choose the one which is not in those three:
a. the issuers of securities
b. the police
c. the investors
d. the market intermediaries
Q. The largest industry group receiving venture capital funding is
a. computer software.
b. medical/health.
c. computer hardware.
d. none of the above.
Q. The source of venture capital funding has
a. shifted from wealthy individuals to pension funds and corporations.
b. shifted from pension funds and corporations to wealthy individuals.
c. decreased since 1990.
d. none of the above.
Q. A typical venture capital firm has a ______ number of investors who eachcontribute a ______ amount of money to the fund.
a. large; small
b. small; large
c. large; large
d. small; small
Q. Most automobile financing is provided by
a. commercial banks.
b. thrifts.
c. finance companies owned by automobile companies.
d. finance companies owned by real estate brokers.
Q. Business finance companies provide specialized forms of credit to businesses by making loans and purchasing accounts receivable at a discount; this provision of credit is called
a. discounting.
b. factoring.
c. refinancing
d. sparking.
Q. Which one of the following is a regarded as classic venture capital?
a. MBO finance
b. Early stage
c. Institutional
d. Corporate
Q. Which agency regulates and supervises NBFCs?
a. Finance Ministry
b. SEBI
c. RBI
d. Respective state government
Q. Which of the following statements is/are correct? 1. NBFCs does not hold a banking license. 2. NBFC can issue Demand Drafts like banks.
a. Only 1
b. Only 2
c. Both
d. None
Q. Which of the following NBFC converted itself into a commercial Bank?
a. Tata Finance
b. Reliance Capital Trust
c. Birla Mutual
d. Kotak Mahindra
Q. Indian Banks Association (IBA) has a common networking system for sharing the ATM facilities in Mumbai, which is known as
a. ATM Network
b. Shared Payment Network System
c. Cash Network
d. None of these
Q. Markets in which derivatives are traded are classified as
a. assets backed market
b. cash flow backed markets
c. mortgage backed markets
d. derivative securities markets