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WorksheetsFinFit FL Assessment_Corporates_25yrs above
Total questions: 35
Worksheet time: 19mins
When you are buying a stock, you get a small piece of
a. Risk of company
b. Debt of company
c. ownership of company
What is Compound Interest?
a. A fixed percentage of Principal amount.
b. Earn Interest not only on your principal but the interest you have already made
c. Variable Interest Rate
Which of the following Investment is considered to be the riskiest?
a. Gold
b. Stocks
c. Mutual Funds
Derivatives can be classified as
a. Future and Options
b. Forwards
c. All of these
An account to hold shares and securities in an electronic format
a. Trading Account
b. Bank Account
c. Demat Account
A bull market is when
a. The market is down
b. The Market is up i.e on the rise
c. The market is stable
. A Trading Account is
a. Used to store securities
b. Similar to a bank account
c. Buy and Sell i.e. trade in securities
Inflation in a country usually leads to
a. Appreciation in its own currency
b. Depreciation of its own currency
c. No impact on real exchange rates
Which of the statements is correct? GDP or Gross Domestic Product is
a. monetary value of goods and services produced in a country in a given period of time.
b. Calculated through production approach only i.e. sum up value added at each stage of production
Doesn’t reflect the general health of economy
What affects the amount of interest that you would pay on a loan?
a. Your credit rating
b. How much you borrow
c. How long you take to repay the loan
d. All of the above
Which of the following credit card users is likely to pay the maximum amount in finance/interest charges per year, if they all charge the same amount per year on their cards?
a. Lata, who always pays off her credit card bill in full shortly after she receives it.
b. Meghna, who pays at least the minimum amount each month and more, when she has the money.
c. Elina, who generally pays off her credit card in full but, occasionally, will pay the minimum when she is short of cash.
d. Jassi who only pays minimum amount each month
What is the deposit limit on saving accounts in the Payment banks?
a. Rs 2 lakh
b. Rs 50000
c. Rs 5 lakhs
d. Rs 10 lakhs
Which type of compounding frequency will give you the highest compound interest?
a. Annual
b.. Semi - Annual
c. Monthly
d. Quaterly
Experts recommend that your emergency fund contain enough money to cover at least 3-6 months worth of living expenses – which is the best place to keep these emergency funds?
a. Shares
b. short term liquid investment
c. Long term liquid investment
d. Mutual Funds
e. None of the above
Ram and Shyam decided to invest Rs 1 lakh each. Ram invested his entire principal in stocks of XYZ Ltd. Shyam, on the other hand, decided to spread his investment across stocks of 7 companies. In the event of stock market going down, who is at the risk of losing more money?
a. Ram
b. Shyam
c. Both Ram & Shyam
d. None of them
Stock A has been issued by a new corporation. Stock B is considered a “bluechip stock which is true about these two stocks?
a. Stock A is expected to be relatively more risky than stock B
b. Stock B is expected to earn a higher rate of return than stock A
c. Stock B is expected to pay a guaranteed rate of return and stock A will not
Stock A is expected to hold its value better than stock B if interest rate rises
What are the three most important criteria to consider for investing?
a. size, insurance, taxes
b. leverage, margins, credit
c. liquidity, risk, rate of return
d. collateral, access accounts, dividends
e. safety, rate of return, Amount
Liquidity risk is highest for which type of investment?
a. real estate
b.mutual fund
c. savings account
d. individual stocks
Why are mortgage interest rates generally lower than credit card interest rates?
a. mortgages are backed by collateral
b. interest rates are lower on larger loans
c. most consumers generally do not qualify for mortgages
d. RBI regulations set credit card rates higher than mortgage rates
Net income is also known as:
a. Pre-tax income
b. Any money you have left over after you pay your bills
c. Your take-home pay
d. The money you make from fishing
About how much of your monthly take-home pay should you budget for housing (mortgage or rent)?
a. No more than 10%
b. No more than 30%
c. No more than 50%
d. All of it
What is an amortization schedule?
a. It is a table that gives details of the periodic principle and interest payments on a loan.
b. It is convenient for borrowers who are in the beginning of their careers.
c. It is the schedule at which commercial banks charge their customers who are most creditworthy
d. All of the above
What is the full form of BPLR?
a. Beginners Prime Lending Rate
b. Benchmark Priming Lending Rate
c. Benchmark Prime Lending Rate
d. Beginners Prime Loan Rate
What is the maximum loan duration for the Personal Loan?
a. 1-5 years
b. 2-4 years
c. . 1-8 years
1-10 years
Inflation is measured by _______
a. Consumer price index
b. Wholesale price index
c. Marshall’s index
d. None of the above
Treasury bills are a high-risk investment.
False
True
Which of the following regulatory bodies regulates the insurance sector in India?
a. TRAI
b. NABARD
c. FSSAI
d. IRDAI
Which among the following is the policy that offers both the options of investment as well as insurance?
a. Unit Linked Insurance Plan
b. Term Insurance
c. Motor Insurance
d. Health Insurance
In a (a) fund the fund manager builds a portfolio that mirrors a popular market index, say Sensex or Nifty Fifty.
How much minimum amount of money should you save for emergencies?
a. 2 mths worth expenses
b. 6 mth worth expenses
c. cash in whatever stocks you have to pay for an emergency
d. 12 mths worth expenses
Which of these is an example of consumer fraud?
a. Fake apps
b. Fake links
c. Fake websites
d. All above
True or False - Sometimes, fund managers can shut funds from
receiving new investments. But they cannot shut
existing SIPs.
a. True
b. False
What is the maturity period of Money Market Instruments?
a. Less than 15 days
b. b. Less than 1 year
c. Less than 181 day
d. Less than 90 days
(a) insurance pays to repair your vehicle less your deductible when it is damaged in ways which do not involve an actual collision.
How much shares the government hold in the Public sector banks?
a. Minimum 75%
b. More than 51%
c. More than 33%
d. More than 49%
