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MCQs

Total Questions : 50 | Page 4 of 5 pages
Question 31. The instrument used in capital market is
  1.    Equity
  2.    Commercial paper
  3.    Treasury Bill
  4.    All the above
 Discuss Question
Answer: Option A. -> Equity
Question 32. The return of a share holder is
  1.    Rate of interest
  2.    Dividend
  3.    Discount rate
  4.    Discount value
 Discuss Question
Answer: Option B. -> Dividend
Question 33. Why do companies issue stocks?
  1.    To create and investment opportunity into other businesses.
  2.    To increase employee cooperation and an operating level.
  3.    To be traded individually
  4.    To raise money for economic investment and to fund operating costs.
 Discuss Question
Answer: Option D. -> To raise money for economic investment and to fund operating costs.
Question 34. What is a financial institution?
  1.    A firm that makes money off of selling products
  2.    An intermediary that helps channel savings into economic investments
  3.    A corporation that typically falls into debt
  4.    A primary source of selling company investment strategy
 Discuss Question
Answer: Option B. -> An intermediary that helps channel savings into economic investments
Question 35. A schedule of how much consumers are willing and able to buy at a price
  1.    Needs
  2.    Wants
  3.    Supply
  4.    Demand
 Discuss Question
Answer: Option D. -> Demand
Question 36. Capital Market is a market for
  1.    long term assets
  2.    short term assets
  3.    Medium term assets
  4.    none of the above
 Discuss Question
Answer: Option A. -> long term assets
Question 37. A person who purchases goods or services for personal use
  1.    Producer
  2.    Consumer
  3.    Supply
  4.    Demand
 Discuss Question
Answer: Option B. -> Consumer
Question 38. Makes goods or provides services
  1.    Demand
  2.    Producer
  3.    Consumer
  4.    Wants
 Discuss Question
Answer: Option B. -> Producer
Question 39. The activity of a speculator by holding the entire supply of the market is called
  1.    Hoarding
  2.    Black marketing
  3.    Cornering
  4.    Suppression
 Discuss Question
Answer: Option C. -> Cornering
Question 40. Actions that are done for someone else
  1.    Needs
  2.    Wants
  3.    Services
  4.    Profit
 Discuss Question
Answer: Option C. -> Services

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