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IFS QUIZ

Total questions: 25

Worksheet time: 12mins

Name
Class
Date
1.

What it's a set of institutions, such as banks, insurance companies, and stock exchanges, that permit the exchange of funds?

a)

Asset

b)

The Financial System

c)

Liability

2.

Where is the borrowers meet the investors?

a)

Financial Markets

b)

Financial Institutions

c)

Assets

d)

Financial Services

e)

Money

3.

Which of the following is an example of equity finance?

a)

Corporate bonds

b)

Bank loan

c)

Government Bonds

d)

Company shares

4.

A financial intermediary is a middleperson between

a)

buyers and sellers.

b)

husbands and wives.

c)

borrowers and lenders.

d)

labour unions and firms.

5.

National saving (or just saving) is equal to

a)

investment + consumption expenditures.

b)

private saving + public saving.

c)

GDP - government purchases.

d)

GDP + consumption expenditures + government purchases.

6.

What is a Financial Institution?

a)

A financial institution gives people cards

b)

It is an ATM

c)

A financial institution gives people money

d)

A financial institution provides financial services for its customers, including storing their money, managing payments and providing loans

7.

What kind of services do banks offer to customers?

a)

Current Account

b)

Bill Payments or money transfers

c)

Credit Cards

d)

Weekly phone-calls to discuss your bank statement

e)

Foreign Exchange Services

8.

A current account is used for (a)   transactions.

9.

A deposit account is also called a (a)   account.

10.

‐‐‐‐‐‐‐‐‐‐‐‐‐‐ is the market where the existing securities of companies are traded.

a)

Primary market

b)

Secondary market

c)

Money market

d)

None of these

11.

Securities of ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ companies are traded in secondary market.

a)

Listed

b)

Relisted

c)

Unlisted

d)

None of these

12.

The first stock exchange in India was started in ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐.

a)

1875

b)

1855

c)

1850

d)

1835

13.

OTCEI stands for Over the Counter ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of India.

a)

Exchange

b)

Expand

c)

Extent

d)

None of these

14.

All activities related to finance and organized into a system called ‐‐‐‐----‐‐‐‐‐‐‐‐.

a)

Capital market

b)

Money market

c)

Financial system

d)

open market

15.

_______ a network of savers, investors, financial assets, and financial institutions that work together to transfer savings to investment uses

a)

secondary market

b)

primary market

c)

financial system

d)

capital market

16.
What is represent for A in the white circle?
a)
Funds
b)
Financial markets
c)
Indirect finance
d)
Financial intermediaries 
17.

The main characteristics of money market transactions which enables it to have active secondary market are:

a)

Securities that trade in one year or less

b)

Securities that are of large denomination

c)

Securities that are very liquid

d)

All above

18.

Institutions such as banks that collect funds from savers that can be loaned to borrowers are known as

a)

financial intermediaries

b)

financial assets

c)

dividends

d)

Credit Unions

19.

A person who buys or sells equities for his or her clients is a

a)

Insurance agent

b)

financial advisor

c)

stockbroker

d)

accountant

20.

_______ a market in which all financial assets can be sold to someone other than the original issuer

a)

primary market

b)

secondary market

c)

financial system

d)

capital market

21.

What is the main advantage of a mutual fund for an investor?

a)

Its price doesn't change much.

b)

It offers diversity in investment.

c)

It has a set maturity date.

d)

It can be sold at a profit.

22.

Banks provide which of the following EXCEPT

a)

debit cards

b)

loans

c)

check writing services

d)

government subsidies

23.

One of the financial institutions that operates by collecting premiums from clients is called ____________ .

a)

brokerage

b)

credit union

c)

investment banks

d)

insurance companies

24.
Which is term of where buyers and sellers of securities meet in one central location to conduct trades? 
a)
Over the counter
b)
Exchange 
c)
Transactions 
d)
Barter system
25.
Which of the following is not capital market instruments? 
a)
Commercial paper
b)
Stocks
c)
Corporate bonds
d)
Mortgage