Top 150+ Solved Fundamentals of Investment MCQ Questions Answer
Q. Systematic risk is measured with
a. Range
b. standard deviation
c. beta
d. co efficient of variation
Q. The term beta is synonymous with
a. systematic risk
b. unsystematic risk
c. portfolio risk
d. all of the above
Q. SEBI has made it mandatory for the companies to disclose
a. The yearly annual report
b. monthly report and annual report
c. Quarterly report and annual report
d. monthly review and annual report
Q. For every RS 1 lakh of fresh issue of capital there should be at least
a. 5 share holders
b. 10share holders
c. 15 share holders
d. 20 share holders
Q. Marketability risk of bond is
a. The market risk which affect all the bonds
b. variation in return caused by difficulty in selling stocks
c. The failure to pay the agreed value of the bond by the user
d. A & B
Q. The value of the bond depends on
a. The coupon rate
b. years to monthly
c. expected yield to maturity
d. all of the above
Q. The bond yield remains constant over its life and the discount or premium amount will decrease
a. at an decreasing rate as its life gets shorter
b. at an decreasing rate as its life gets longer
c. at an increasing rate as its life gets shorter
d. at an increasing rate as its life gets longer
Q. Yield to maturity is the single factor that makes
a. The future value of the present cash flows from a bond equal to bond value
b. The future value of the present cash flows from a bond equal to the future price of the bond
c. Present value of the future cash flows of the bond equal to the current price of the bond
d. The future value of the bond equal to the present price
Q. The term structure of the bond is the relationship between the
a. interest rate and bond’s maturity period
b. interest rate of the bond and market rate of interest
c. interest rate and the price of bond
d. yield and time taken to mature
Q. For portfolio of 40 stocks to adopt Sharpe index model, the bit of information needed are
a. 80
b. 100
c. 120
d. 122
Q. The risk explained in the index is equal to
a. Beta value of the stock
b. variance of the security return
c. a^2x variance of market index return
d. a^*variance of security return
Q. The unsystematic risk is explained by
a. Variance of the index
b. unexplained variance of index
c. Explained variance of the index
d. none of the above