WorksheetsBid & Build 2025
Total questions: 25
Worksheet time: 15mins
Which Indian IT firm bagged a US $645 million deal with UK insurer Phoenix Group in 2025 for pension and life-business outsourcing?
Infosys
HCLTech
Wipro
TCS
What was one effect of stronger IPO and equity-market exit outlook for private equity in India?
Fewer funds launched
Increased seller confidence in exits
Exit routes limited only to trade buyers
PE only investing in debt instruments
Which Indian conglomerate recently announced plans to establish a semiconductor fabrication unit in Gujarat with a global chipmaker partner?
Reliance Industries
Adani Group
Tata Group
Mahindra & Mahindra
The “Digital Rupee” launched by RBI is based on which underlying concept?
Blockchain-based Central Bank Digital Currency (CBDC)
Private cryptocurrency system
Unified Payments Gateway
Biometric financial tokenization
In 2025, the Securities and Exchange Board of India (SEBI) proposed a new framework for:
Regulating algorithmic and high-frequency trading
Restricting mutual fund participation
Fixing IPO price bands
Limiting FDI in listed companies
LG Electronics India Ltd launched its IPO in October 2025. The issue received massive attention and was oversubscribed several times. Investors were curious because the company is primarily a consumer electronics brand with a strong parent in South Korea. Which of the following is TRUE about the LG Electronics India IPO?
The company raised fresh capital to expand operations in India
The IPO was oversubscribed more than 50× within the bidding period
The IPO was launched at a price band below 500 per share
The listing price was below the issue price due to weak demand
Which of the following is not a form of equity financing?
Angel Investment
Venture Capital
Initial Public Offering
Term Loan
Riya started a handmade organic soap business in Kerala. She noticed rising demand but lacked funds to expand. She approaches investors but wants to retain ownership. Which financing option should Riya prefer?
Equity financing
Debt financing
Venture capital
Crowdfunding
A company’s balance sheet shows assets of 50 lakh and liabilities of 20 lakh. What is the owner’s equity?
70 lakh
30 lakh
20 lakh
10 lakh
An MSME sells goods worth 10 lakh on 60-day credit but pays suppliers in 30 days. Sales rise, but cash flow tightens. Which solution is most suitable?
Reduce sales
Apply for a working capital loan
Take a long-term term loan
Cut employee wages
A startup founder in Delhi wants 1 crore for expansion. Option A: Bank loan @ 12% interest. Option B: Investor offers 1 crore for 20% equity. If the company expects to earn 25 lakh annual profit after tax, which is financially better in year 1?
Loan– keeps ownership
Investor– no repayment pressure
Both equal
Loan is cheaper only if profit < 12 lakh
A D2C fashion startup constantly runs 30% discounts to increase sales. Revenue is growing, but cash flow is negative. What’s most likely the cause?
High production cost and discounting reduce margin
Tax evasion issues
Inefficient marketing spend
Poor product quality
Which index ranks and tracks India's most valuable private startups including unicorns and tech firms?
Sensex
Hurun India Global Unicorn Index
Nifty Next 50
StartupX Index
A Bengaluru-based edtech firm raised $500 million but reported negative cash flow due to heavy marketing expenses. What financial indicator best reflects this situation?
Asset Turnover Ratio
Burn Rate
Return on Equity
Liquidity Ratio
A startup founder refuses VC funding to maintain control and uses personal savings to grow the firm. This approach is termed:
Crowdfunding
Bootstrapping
Angel Investing
Leveraged Buyout
The venture capitalist typically earns returns through:
Employee Stock Options
Equity appreciation and exit during IPO or acquisition
Royalty income
Fixed dividends
What is the PRIMARY structural difference between Liquid BeES and traditional liquid mutual funds?
Liquid BeES invest only in overnight securities while liquid funds can invest 3 up to 91-day maturity
Liquid BeES trade on stock exchanges in real-time while liquid funds have T+1 redemption
Liquid BeES have lower expense ratios due to passive management
Liquid BeES provide intraday liquidity without exit loads
A company shows 15% revenue growth but only 8% net profit growth. Which scenario MOST likely explains this divergence?
Operating leverage kicked in, reducing fixed cost per unit
Gross margins compressed due to input cost inflation or competitive pricing
The company reduced its effective tax rate through better planning
Depreciation as a percentage of revenue decreased significantly
An ice cream company reports: Q1 (Jan–Mar) revenue 50cr, Q2 80cr, Q3 120cr, Q4 70cr. Which statement is TRUE?
QoQ analysis would show Q4 as a concerning-42% decline; YoY would neutralize this seasonality
YoY analysis is misleading because it ignores the strong summer demand trend
QoQ growth in Q2 of 60% indicates genuine business expansion
Both QoQ and YoY show identical patterns
What distinguishes scalpers from day traders in equity markets?
Scalpers hold positions for seconds to minutes; day traders hold for hours but close before market end
Scalpers only trade in futures and options; day traders trade cash segments
Scalpers aim for 2–3% gains per trade; day traders target smaller 0.1–0.5% moves
Scalpers use fundamental analysis; day traders rely purely on technical charts
What is the PRIMARY advantage of Sovereign Gold Bonds (SGBs) over physical gold?
SGBs can be traded on stock exchanges at premiums to NAV
SGBs provide 2.5% p.a. interest plus price appreciation, and capital gains are tax-free if held till maturity
SGBs have no lock-in period and can be redeemed anytime after 6 months
SGBs are exempt from GST, while physical gold attracts 3% GST
What is an arbitrage fund?
A fund that exploits price differences of the same asset in different markets to earn risk-free returns
A fund that invests primarily in government securities for fixed returns
A fund that invests in undervalued stocks for long-term capital appreciation
A fund that takes high-risk derivative positions to maximize short-term profits
Company A (P/E 15) acquires Company B (P/E 10) using cash. Post-merger EPS rises 12%. How can this still destroy value?
If Company A overpaid beyond B’s intrinsic value despite low P/E
If the cost of capital for the acquisition exceeds the IRR of B’s cash flows
If synergies don’t materialize and integration costs exceed EPS gains
All of the above
A company’s pre-IPO valuation is 200 crore and it raises 50 crore in the IPO. The founder owns 60% pre-raise. Post-IPO, the founder’s stake becomes:
48% (because dilution = investment/post-money = 50/250)
50% (60% reduced proportionally by 50/200 dilution factor)
45% (60% × 200/250 = 48%, then adjusted for IPO costs)
52.5% (weighted average dilution accounting)
A stock falls 40%, then rises 20%, and rises another 20%. What is its final value compared to the original?
Same as original (net change 0%)
Down 8% overall
Down 13.6% overall
Down 14.4% overall
