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Quiz Day 5

Total questions: 12

Worksheet time: 10mins

Name
Class
Date
1.

The main difference between the two is that in the primary market, an investor gets securities in-directly from the other investors, while in the secondary market, one purchases securities from companies offering the same in IPO

a)

True

b)

False

c)

Partially Correct

d)

Cannot be determined

2.

In the case of Primary markets, the IPO prices are determined by the issuer company whereas in the secondary market prices are determined by

a)

SEBI

b)

Broker

c)

Demand & Supply forces

3.

Key intermediaries for Primary Market

a)

Merchant Bankers, RTAs and Depositories.

b)

Stockbroker, DP and Clearing Member

c)

Investment Banker & Authorised Person

4.

Questions to ask before investing include -

A. Is the Company an MNC and has branches abroad? Is the Company doing good advertisement to market its products/services?

B. Is the company’s revenue growth, the company actually making a profit, company able to repay its debts?

C. Is the company in a position strong enough to compete with its peers & the company pay dividends?

a)

A & B

b)

C & D

c)

A & D

d)

A & B & C

5.

Valid modes of placing an order do not include

a)

Orders through a mobile app

b)

Orders sent on WhatsApp / Snapchat / Instagram – call via social media

c)

Order through an online browser (IBT)

d)

Orders on phone call / email – call & trade

6.

Type of order on the trading screen includes

A. MIS for intraday trades, CNC for carrying forward of cash market trades, NRML for F&O Trading

B. AMO for After Market Order, GTC for Good Till Cancelled Order, IOC for Immediate or Cancel Order

C. Profit Order, Loss Order, Super Order, Clear Order

D. Stop Loss Order, Limit Order, Market Order, Cover Order, Bracket Order

a)

Only A, C & D are all valid order types

b)

A, B, C & D are all valid order types

c)

Only A, B & D are all valid order types

d)

Only B & D are valid order types

7.

Trading Terminal Features covers the following

A. The login process, Market Watch List, Creation of Customised Watch List, Placing of Buy / Sell Order,

B. Access to Trade Book Access to Order Book & Seamless Fund Transfer

C. Switching trades that are already executed

D. Funds transfer to/from 3rd party

a)

A, B, C & D are all valid features

b)

Only A & B are valid features

c)

Only B & D are valid features

d)

Only C & D are valid features

8.

Post Trade confirmation by the exchange which comes on “T” day is an optional feature that an investor needs to subscribe to?

a)

True

b)

False

c)

Cannot be determined

d)

Partially True

9.

_________ is Post document which every investor / trader receives either physically or on main

a)

ECN – Electronic Contract Note

b)

ECN – Electronic Cover Note

c)

ECN – Electronic Customised Note

d)

DIS – Delivery instruction Slip

10.

Classification of Mutual Funds is based on _______ Parameters

a)

Liquidity & Ease of investing

b)

Economic conditions of the country

c)

Structure, Objective & Investment Style

d)

SEBIs instructions

11.

Structured Mutual Funds are

a)

Debt funds, Equity funds & Hybrid funds

b)

Passive Funds & Active Funds

c)

Thematic Funds & Sectoral funds

d)

Open-ended, closed-ended & interval funds

12.

Benefits of SIP in Mutual funds investing are –

a)

Higher returns, low cost & ease of investing

b)

Protection from losses, Higher Returns & Can invest low amounts

c)

Discipline, Power of Compounding, Rupee Cost Averaging & Convenience

d)

No stringent requirement of any advice or research while investing