Financial Markets Quiz 2 (30 MCQs)

Quiz Instructions

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1. World's largest stock exchange founded in 1790.
2. ..... is a person invests in financial markets to reduce the risk of price volatility in exchange markets.
3. Primary market is associated with ..... issues.
4. Financial markets and institutions
5. Which of the following is an advantage of a 401(k) plan?
6. What is the relationship between risk and return?
7. Shares of stock from a variety of companies that you own are called?
8. It is a market for short-term funds which deals in monetary assets whose period of maturity is up to one year.
9. A document that discloses information about a company's earnings, assets, and liabilities
10. Stock that guarantees dividends but gives no voting rights
11. In money market, large firms also ..... when they have surplus cash (e.g:invest in commercial paper) and ..... when they are short of money.
12. Money Market is regulate by
13. Which market directly contributes for capital formation and increase in capital offirms?
14. Claims of ownership in a corporation (stock)
15. What is a return?
16. Year when PSE was transformed from a non-profit, non-stock, member-governed organization into a shareholder-based, revenue-earning corporation headed by a president and a board of directors
17. The primary liabilities of a commercial bank are
18. In Right Issue, shares are issued to
19. The use of income today that allows for future benefit.
20. Stocks or documents that represent a claim on the income and property of the borrower are known as
21. The new issues market is also known as
22. Financial institutions that protect individuals and corporations (policyholders) from adverse events.
23. The government agency responsible for regulating the stock market?
24. The capital market consists of
25. Which of the following cannot be called as a debt instrument as referred to in financial transactions?
26. Primary market facilitates business firms
27. Under this method of floatation in the primary market, a subscription is invited from the general public to invest in the securities of a company through the issue of advertisement.
28. For which investment will you receive interest payments?
29. Reducing risk through the purchase of assets whose returns do not always move together is
30. They can be issued to individuals, corporations and companies during periods of tight liquidity when the deposit growth of banks is slow but the demand for credit is high.