Security analysis and portfolio management MCQ

Security analysis and portfolio management MCQ

Q1. ___ is putting money at risk by betting on an uncertain outcome with the hope that you might win money.
(a) Investment
(b) Gambling
(c) Financing
(d) Portfolio
Ans. B

Q2. ___ is a method used to evaluate the worth of security by studying the financial data of the issues.
(a) Security Analysis
(b) Fundamental analysis
(c) Performance Analysis
(d) None of the Above
Ans. B

Q3. IPO stands for:
(a) Internal Public Office
(b) Initial Public Office
(c) Initial Public Offer
(d) Internal Police Office
Ans. C

Q4. The primary market is one in which a borrower issues new securities in exchange for cash from an investor.
(a) True
(b) False
Ans. A

Q5. Which of the following are common errors in investment management?
(a) Not Having a Clearly Defined Investment Plan
(b) Investor often overdose themselves on Information
(c) Both A&B
(d) None A&B
Ans. C

Q6. Which of the following is the quality of a smart investor required.
(a) Smart Investor Invest Consistency.
(b) Smart Investor Are Important
(c) Smart Investors Are Emotionally Tied To Their Investment Position.
(d) All of the Above.
Ans. A

Q7. ___ is the variability in a security’s returns resulting from fluctuations in the aggregate market.
(a) Market Risk
(b) Inflation risk
(c) Credit Risk
(d) Intend rate risk
Ans. A

Q8. Money Market Transactions can be executed directly or an intermediary.
(a) True
(b) False
Ans. A

Q9. OTC stands for:
(a) Offer To The Centre
(b) Over The counter
(c) Over TO Corporation
(d) None of the Above.
Ans. B

Q10. ___ are the short-term unsecured promissory notes issued by a company to raise short-term cash.
(a) CD
(b) CP
(c) Treasury bills
(d) All of the Above
Ans. B