Capital Market

Ques1:- In India there are presently _____ companies, in the business of Credit Rating?

Ans:-   4

Ques2:- Dematerialized shares have distinctive numbers.

Ans:-   False

Ques3:- Sweat equity shares means equity shares issued by a company to employees at a discount.

Ans:-   True

Ques4:- In case  of public issue by a listed company, participation by promoters in the proposed issue in excess of the required minimum % shall also be locked in for a period of ________ years.

Ans:-    1

Ques5:- The person who changes the composition of securities?

Ans:-   Fund Manager

Ques6:-   Qualities of a merchant banker?

Ans:-   Knowledge and information about various aspects of the capital market,

           Ability to evaluate and analyse the various aspects,

           Update their knowledge

Ques7:- Which company come out with a unique product called bonus debentures?

Ans:-   Hindustan lever

Ques8:- The venture capital can flourish only when there is a well developed _______________?

Ans:-   Capital market

Ques9:- The report is required to be submitted to SEBI along with a fee of Rs.________ /report.

Ans:-   10,000

Ques10:- The amount of net worth a company should have for opting for an        IPO is

Ans:-   1 crore  

Ques11:-  BSE introduced an equity stock index known as _________

Ans:-   Sensex

Ques12:- The company should have a track record of dividend payment of 3 years out of the immediately preceding 5 years.

Ans:-   True

Ques13:- Precautions to be taken with respect to delivery instruction slip?

Ans:-   DIS number must be pre-printed, account number must be stamped, target account id be filled

Ques14:- Regulations for venture capital funds are

Ans:-   VCFs must be registered, VCFs cannot carry on any other activity, VCFs  must disclose the investment strategy

Ques15:- Minimum post issue capital of a company should be ?

Ans:-   10 crores

Ques16:- Letter of offer is?

Ans:- document addressed to the shareholders,

 containing disclosures of the acquirer/PACs,

 offer price

Ques17:- HFCs disbursement on project lending is restricted to?

Ans:-   30%

Ques18:-   Match the following:-

                   Business analysis ------   determinates of revenue growth

                   Market position -------- nature and basis of competition

                   Operating advantage-------- technology risk

                   Financial risk --------------- interest coverage

Ques19:- The acquirer is required to appoint _________ before making a PA.

Ans:-       Merchant banker

Ques20:- The right to buy is called ______?

Ans:-   Call option

Ques21:- Regulatory aspects of the mutual funds are/

Ans:-   AMC shall launch no scheme unless the trustee approve such scheme, document of each scheme pay filling fees, offer document shall contain disclosures

Ques22:- The person responsible for maintaining Escrow account in securitisation?

Ans:-   Trustee

Ques23:- _______ is the international credit rating company.

Ans:-   FITSCH

Ques24:-  A Commercial paper is ?

Ans:-    short term financial instrument,

            Means of raising short term debt issue,

             They are negotiable and transferable instruments