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Innovative Financial Services

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

The availability of cash and other cash like marketable instruments that are useful in purchases and investments are commonly known as:

a)

Cash crunch

b)

Liquidity

c)

Credit

d)

Marketability

2.

Banking sector comes under which of the following sectors

a)

Marketing sector

b)

Service sector

c)

Manufacturing sector

d)

Industrial sector

3.

The quality of financial service rendered changes from customer to customer. This characteristic of financial services is called ____________(

a)

Perishability

b)

Variability

c)

Intangibility

d)

Inseparability

4.

___________was constituted to protect the interests of investors in securities and to promote the development of and to regulate the securities market through appropriate measures

a)

RBI

b)

SEBI

c)

NSE

d)

BSE  

5.

Under forfaiting the client is able to get credit facility to the extent of ___________

a)

100% of the value of the export bill

b)

80% of the value of the export bill

c)

75% of the value of the export bill

d)

90% of the value of the export bill

6.

"Prospectus" is the most important document for the Company to come out with a____________ Issue.                        

a)

Private

b)

public

c)

company

d)

none

7.

A set of complex and closely connected instructions, agents, practices, markets transactions, claims and liabilities relating to financial aspects of an economy is referred as___________

a)

Financial system

b)

Financial market

c)

Financial institution

d)

Financial management

8.

When the issuing company sells securities directly to the investors it is called______

a)

Public issue

b)

Rights issue

c)

Private issue

d)

Government

 

9.

A merchant bank does not offer many services to public sector units

a)

True

b)

False

10.

Financial intermediaries provide services on the basis of non-fund activities also

a)

True

b)

False

11.

RBI may collect from the merchant bankers an initial authorisation fee, an annual fee & a renewal fee

a)

True

b)

False

12.

Financial intermediaries have to focus on quality and innovation of  their services. Then only they can put up credibility and gain the trust   of the customers. This characteristic of financial services is called_______

a)

Perishability

b)

Variability

c)

Intangibility

d)

Inseparability 

13.

Finance is not available in the following factoring services____________

a)

Without Recourse

b)

With Recourse factor

c)

Maturity factoring

d)

Invoice discounting

14.

Factoring transaction is always considered for export transactions only

a)

True

b)

False

15.

Financial services also need a match between demand and supply. Services cannot be stored. They have to be supplied when customers need them. This characteristic of financial services is called__________

a)

Perishability

b)

Variability

c)

Intangibility

d)

Inseparability

16.

Stocks cannot be called as a debt instrument as referred in the financial transactions

a)

True

b)

False

17.

Credit Protection is available in_______(

a)

Without Recourse factoring

b)

With Recourse factoring

c)

Botha and b

d)

None

18.

The____is the market in which participants can buy, sell,

exchange, and speculate on currencies.

a)

Forex Market

b)

Financial market

c)

Capital market

d)

Money market

19.

Market for financial assets which have a long or indefinite maturity is called_______

a)

Capital market

b)

Financial market

c)

Financial system

d)

Money

market

20.

The maximum load that a fund can exchange is determined by_____

a)

Securities and Exchange Board of India

b)

Reserve Bank of India

c)

Distributing Agent

d)

NBFC