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N.I.C.E INVESTMENT GAME

Total questions: 15

Worksheet time: 5mins

Name
Class
Date
1.

If a company files for bankruptcy, which of the following securities is most at risk of becoming virtually worthless

a)

Preferred stock

b)

Bond

c)

Common stock

2.

Which of the following company gain the highest profit during the lockdown, known as Movement Control Order (MCO)?

a)

PETROLEUM NATIONAL BERHAD

b)

TOP GLOVE CORPORATION BHD

c)

HONG LEONG BANK BERHAD

d)

UEM Group Berhad

3.

Which sector of the company will you choose to invest during the pandemic?

a)

Tech Companies

b)

Glove

c)

Travelling

d)

Food

4.

Which of the following is true in regard to investing in stock?

a)

A stock investor may or may not receive a profit

b)

A stock investor may receive a dividend

c)

A stock investor owns a part of a company

d)

All of the above

5.

Which of these markets allows trading of securities with less than one year of maturity?

a)

Capital market

b)

Transaction market

c)

Global market

d)

Money market

6.

An amount of money paid by a company regularly to it's shareholders

a)

Profit

b)

Bonds

c)

Cash back

d)

Dividends

7.

A part into which a companies capital is divided, entitling the shareholder to a portion of the profits.

a)

Share

b)

Bond

c)

Dividend

d)

Stock

8.

A type of savings that signifies that you own a part of a corporation and a claim to their assets and earnings.

a)

Stock

b)

Share

c)

Dividend

d)

None of the above

9.

Price paid at the purchase of bonds

a)

Selling price

b)

Face value

c)

Cost price

d)

Bond price

10.

If Net Asset Value > market price of a fund, then the fund____________.

a)

is selling at a premium.

b)

is selling at a discount.

c)

is an index fund.

d)

is an exchange-traded fund.

11.

High interest rates will

a)

shift the flow supply schedule for new housing to the right

b)

have no effect on the cost of new housing, only on existing homes.

c)

shift the flow supply schedule for new homes to the left.

d)

shift the demand schedule for new housing to the right.

12.

The coupon rate is another name for the__________.

a)

market interest rate.

b)

current yield.

c)

stated interest rate.

d)

yield to maturity.

13.

If a preferred stock issue is cumulative, this means____________.

a)

dividends are paid at the end of the year.

b)

unpaid dividends are never repaid.

c)

dividends is legally binding on the corporation.

d)

unpaid dividends will be paid in the future.

14.

The markets where securities instruments are traded directly between buyer and seller are known as ______.

a)

Secondary markets

b)

Primary markets

c)

Tertiary markets

d)

None of the above

15.

Liquidity risk_____________.

a)

is the risk that investment bankers normally face.

b)

is the risk associated with secondary market transactions.

c)

increases whenever interest rates increase.

d)

is lower for small OTCEI stocks than for large NSE stocks.