Finance MCQs

Page No. 5

Type of financial securities that mature in less than a year are classified as___________?


aSaving intermediaries


bDiscounted intermediaries


cMoney market securities


dCapital market securities



In financial markets, period of maturity more than five years of financial instruments is classified as___________________?


aIntermediate term


bCapital term


cShort-term


dLong-term


View Answer Long-term

Rate of return which is asked by investors is classified as_____________________?


aAverage cost of capital


bMean cost of capital


cWeighted cost of capital


dWeighted average cost of capital



Corporations that buy financial instruments with money accepted from savers are classified as_________________?


aDebit funds


bCredit funds


cMutual funds


dInsurance funds


View Answer Mutual funds

Markets which bring closer institutions needing funds and with surplus funds are classified as______________?


aFinancial markets


bCorporate institutions


cHedge firms


dRetirement planners


View Answer Financial markets

Partners who are only liable for their own part of investment are considered as___________________?


aVenture partners


bCorporate partners


cLimited partners


dGeneral partners


View Answer Limited partners

Process of selling company stock at large to general public and get lending from banks is classified as an_________________?


aInitial public offering


bExternal public offering


c Internal public offering


dUnprofessional offering



Cost of money is affected by factors which includes______________?


aProduction opportunities


bRisk


cAll of above


dInflation


View Answer Inflation

Condition in which company’s imports are more than its exports is classified as____________?


aForeign trade


bForeign trade deficits


cForeign trade surplus


dTrade surplus



Financial security kept by non-financial corporations is____________________?


aDeposit cheque


bDistribution cost


cShort term treasury bills


dShort term capital cost



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