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Worksheets

Winvestor

Total questions: 20

Worksheet time: 15mins

Name
Class
Date
1.

I buy a stock at Rs. 195 (No Stop Loss) and it tends to depreciate till Rs. 155 for the next 4 months. It starts to rise and achieves value of Rs. 215 after total of 7 months. I decide to sell it after 1 month at Rs. 181.

What am I doing?

a)

I am buying low and selling low

b)

I am gaining dividends

c)

I am buying high and selling low

d)

I am buying low and selling high

2.

_________ are the triangular chart patterns which have trend lines and if they converge there is a big chance of break out. In simple terms, ___________ show that break out trend may continue or reverse. What is ________?

a)

Bilateral Chart Patterns

b)

Candlestick Charts

c)

Continuation Charts

d)

Bearish Break Out Chart Patterns

3.

This is an ancient image of a famous stock exchange. The place or area where it is located is also the name of a famous “Leonardo Di Caprio” Movie. Can you guess which stock exchange is this?

a)

Bombay Stock Exchange

b)

The Stock Exchange of Hong Kong

c)

New York Stock Exchange

d)

SIX Swiss Exchange

4.

Which of the following factors do not effect (not correlation but cause) the price of Gold Commodity?

a)

Volatility Protection

b)

Inflation

c)

Currency Fluctuations

d)

Stock Price of Gold Mining Companies

5.

Trading in Gold Commodity, is seen as hedging tool best for which economic problem?

a)

Inflation

b)

High Export Low Import

c)

Lack of Domestic Production

d)

Stock Market Boom

6.

The above image shows the basic structure of a candlestick. Choose the option that correct fills all the 4 blue blanks

a)

High Open Close Low

b)

Low Open Close High

c)

Low Close Open High

d)

High Close Open Low

7.

Which of the following is not a reason for Equity Repurchase?

a)

To Boost stock price

b)

To rationalize a company’s capital structure

c)

Help dilution from stock market grants

d)

To give excessive cashback to shareholders

e)

To substitute for cash dividends.

8.

HDFC issues some bonds which have a face value of Rs 2 Lakhs and a maturity period of 25 years. The Bonds were issued at a price of Rs.5300. Which type of Bonds are they?


a. Floating Rate Bonds

b. Deep Discount Bonds

c. Income Bonds

d. Zero Interest Bond

a)

Only B

b)

Both B & D

c)

Both A & C

d)

Only C

9.

Which of the following statements is true?

a)

For a company, Debt is always costlier than equity

b)

The main reason for companies indulging in M&A is to create Synergies

c)

Portfolio Diversification washes away the market risk, but not the unique risk

d)

Both A & B

e)

Both A & C

10.

The Beta Industries invest in a project with initial capital requirement of $100. The Project receives $115 in First year and no other cash flows. The discount rate is determined as 6%. What will be the NPV of the project?

a)

8

b)

8.5

c)

6.5

d)

6

e)

None of the Above

11.

Which is NOT true about Generally Accepted Accounting Principles (GAAP)?

a)

It maintains official definitions of “net income” and “operating income”

b)

They are used for EDGAR (Electronic Data Gathering, Analysis, and Retrieval)

c)

It invented the concept of Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBIT)

d)

They are defined by the Financial Accounting Standards Board (FASB)

12.

Economist Jeff Curie once said - “gold is a hedge against debasement.” What do you mean by debasement here?

a)

To lower the value of the currency

b)

Fall in the value of the currency

c)

To degrade the value of a precious metal

d)

None of these

13.

The Gold (Control) Act, 1968 aims at:

a)

Facilitating indigenous production of gold

b)

Curbing gold imports of India

c)

Preventing the smuggling of gold

d)

All of the above

14.

RBI has announced the subscription date for Sovereign Gold Bonds as October 12-16 (2020). The issue price is fixed at Rs. 5051 per gram. Which tranche of issue will this be?

a)

Sixth

b)

Eighth

c)

Seventh

d)

Ninth

15.

In India, Bonds can be issued by which of the following bodies?

a)

State Government

b)

Municipalities

c)

Private Companies

d)

All of the Above

16.

What is Stop loss order?

a)

An order which gets executed when the price reaches a certain level

b)

An instrument used for making profits

c)

An order which gets executed instantly

d)

Same as Limit Buy Order

17.

What does Fundamental Analysis mean?

a)

Analysing the company’s reports

b)

Analysing the market scenario/ trend

c)

Analysing the chart patterns and stock prices

d)

Analysing both

18.

Stocks bought by a trader is settled after

a)

T+1 day

b)

T+3 days

c)

Immediately

d)

None of the above

19.

The current market price per share multiplied by the total number of outstanding shares of that company will give

a)

Book Value

b)

Market Lot

c)

Market capitalisation

d)

Basic EPS

20.

Which of the following is a type of government securities that are non-interest bearing and have short-term maturity?

a)

Treasury bills

b)

Treasury notes

c)

Treasury bonds

d)

Treasury shares