Financial, Capital & Bond Markets Quiz

The negotiable financial investment is different from the non-negotiable financial investment in terms of
(a) maturity period
(b) interest rate
(c) transferability
(d) face value

Answer. (c)

Zero coupon bonds has its origin in
(a) U.S security market
(b) wall street
(c) japans security market
(d) dalal street

Answer. (a)

Treasury bills are actually a class of:
(a) securities of companies
(b) central government securities
(c) equities
(d) none of the above

Answer. (b)

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These contracts are standardized and hence traded in stock exchanges.
(a) Forward contract
(b) Future contract
(c) Options
(d) None of the above

Answer. (b)

Bonds not carrying any interest are known as
(a) Deep discount bonds
(b) Secured premium notes
(c) Callable bonds
(d) Zero coupons bonds

Ans. (d)

The component of the capital market is
(a) Commercial Paper market
(b) government securities market
(c) commercial bill market
(d) a and b

Answer. (b)

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____ contract is a one to one bipartite contract, which is to be performed in future at the terms decided today.
(a) Forward Contract
(b) Future Contract
(c) Options
(d) None of the above

Answer. (a)

Junk bonds are
(a) High-risk, high-yield corporate bonds
(b) Government-backed risk-free bonds
(c) Short-term money market instruments
(d) Equities with no maturity date

Ans. (a)

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____ contracts are standardized and hence traded on stock exchanges.
(a) Forward Contract
(b) Future Contract
(c) Options
(d) None of the above

Answer. (b)

These bonds are the bonds issued at a discount and repaid at a face value.
(a) Convertible bond
(b) Zero coupon bond
(c) Deep discount bond
(d) All of the above

Answer. (b)

Which one of the following is not a money market security?
(a) Treasury bills
(b) national saving certificate
(c) Certificate of deposit
(d) commercial paper

Answer. (b)

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This is a market for short-term funds.
(a) Money market
(b) Capital market
(c) Commodity market
(d) None of these

Answer. (a)

Bonds that are sold in a foreign country and are denominated in that country’s currency are known as
(a) Foreign bonds
(b) Eurobonds
(c) Eurocurrencies
(d) Eurodollars

Answer. (a)

About the author

Jaspreet

Jaspreet (Masters in Commerce-LLB) not only have exceptional command of Accounts and Commerce subjects but also have keen interest in Law. He is consistent in producing high quality assignments.

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