Finance MCQs

Page No. 17

Professionals such as doctors, accountants and lawyers often make corporations are classified as____________?


aGeneral professionals


bProfessional corporation


cProfessional association


dBoth B and C


View Answer Both B and C

Markets for products such as wheat, rice, cotton, real estate and autos dealing is classified as___________?


aPhysical asset markets


bIntangible assets


cCompetitive markets


dEasy markets



Bonds which are riskier than corporate bonds and are issued by major corporations are classified as___________?


aCommon stocks


bCorporate stocks


cLeases


dPreferred stocks


View Answer Preferred stocks

In financial markets, period of maturity within one to five years of financial instruments is classified as_________________?


aShort-term


bLong-term


cIntermediate term


dCapital term


View Answer Intermediate term

Collection of money from investors and spending money in other investment activities is classified as__________________?


aFuture funds


bHedge funds


cRetirement funds


dPension funds


View Answer Hedge funds

Price of stock that companies observe in financial markets is called____________?


aMarket price


bIntrinsic price


cExtrinsic price


dFundamental price


View Answer Market price

Ability to trade at net price very quickly is classified as___________?


aOriginal trading


bLiquidity


cOffline trading


dFixed price trading


View Answer Liquidity

Type of financial security in which firms do not borrow money rather lease their assets is classified as____________________?


aLeases


bPreferred stocks


cCommon stocks


dCorporate stocks


View Answer Leases

Hewlett-Packard and Microsoft are examples of__________?


aLimited corporate business


bUnlimited corporate business


cControlled corporate business


dCorporation


View Answer Corporation

A price for equity is called______________?


aInterest rate


bCost of equity


cDebt rate


dInvestment return


View Answer Cost of equity

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