a)

b)

c)

d)

To establish relationship between economic, industrial and company indicators with a view to forecast the earnings and dividends of the company

Analyse the macro economic environment

Analyse the company and sector profitability

To establish relationship between economic, industrial and company indicators and compare it with the other sector

What is the objective of fundamental analysis?

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 Select The Blank

  Question  

________ is affected by the leverage decisions of the firm.

  Correct Answer  

Return on equity

  Your Answer  

Price earning ratio

 

 Multiple Choice Multiple Answer

  Question  

The investor in bonds receives income from :-

  Correct Answer  

Interest payments at coupon rates , Capital gain/loss arising out of the sale of the bond , Redemption of the bond of the issuer at a contracted value

  Your Answer  

Capital gain/loss arising out of the sale of the bond , Redemption of the bond of the issuer at a contracted value , Interest payments at coupon rates

 

 Multiple Choice Single Answer

  Question  

Mr. Sharma is expecting to receive Rs. 50,000/- at the end of 5 years. He wanted to know what is the present value of this amount, if the rate of interest is 6% p.a?

  Correct Answer  

Rs. 37363/-

  Your Answer  

Rs. 37363/-

 

 Multiple Choice Single Answer

  Question  

Mr. Suresh is expecting to receive Rs.1,50,000/- at the end of 3 years. He wanted to know what is the present value of this amount, if the rate of interest is 9% p.a ?

  Correct Answer  

Rs.1,15,827/-

  Your Answer  

Rs.1,15,827/-

 

 Multiple Choice Multiple Answer

  Question  

Equity analysts provides estimates of earnings and earnings growth for future, using historical data and :-

  Correct Answer  

Macro economic information that may impact future growth , Private information about the firm , Firm's specific information and public information

  Your Answer  

Macro economic information that may impact future growth , Private information about the firm , Firm's specific information and public information

 

 Multiple Choice Multiple Answer

  Question  

What are the features of company fixed deposits?

  Correct Answer  

Interest rate offered is higher than banks , No benefits under 80 L , No TDS for interest income upto Rs. 5000

  Your Answer  

Interest rate offered is higher than banks , No benefits under 80 L , No TDS for interest income upto Rs. 5000

 

 True/False

  Question  

A firm uses a combination of equity and debt for financing its assets.

  Correct Answer  

True

  Your Answer  

True

 

 Multiple Choice Multiple Answer

  Question  

The Peer group of Bharat Forge consists of which all companies?

  Correct Answer  

Am forge industries , Kalyani Forge , EL Forge

  Your Answer  

Am forge industries , Kalyani Forge , EL Forge

 

 Multiple Choice Single Answer

  Question  

Mr.Rohan invests Rs.25,000/- today. The rate of interest is 6% compounded annually. What will be the value of his investment after 3 years?

  Correct Answer  

Rs. 29775/-

  Your Answer  

Rs. 29775/-

 

 Multiple Choice Single Answer

  Question  

Mr. Suhas is expecting to receive Rs.1,00,000/- at the end of 7 years. He wanted to know what is the present value of this amount, if the rate of interest is 7% p.a ?

  Correct Answer  

Rs. 62,275/-

  Your Answer  

Rs. 62,275/-

 

 True/False

  Question  

A rally that develops on contracting volumes is suspect and warns of a potential trend reversal in price

  Correct Answer  

True

  Your Answer  

True

 

 Select The Blank

  Question  

________ is the value today of a stream of cash flows that occurs in future.

  Correct Answer  

Present value

  Your Answer  

Present value

 

 Multiple Choice Multiple Answer

  Question  

If option is given to you to receive Rs.1,000/- today or after one year, you will choose to receive it today because :-

  Correct Answer  

You can use the amount to generate returns over the next one year , The purchasing power of Rs.1,000/- today is more than what it will be one year from now , There is an element of uncertainty associated with the future receipt

  Your Answer  

You can use the amount to generate returns over the next one year , The purchasing power of Rs.1,000/- today is more than what it will be one year from now , There is an element of uncertainty associated with the future receipt

 

 Multiple Choice Multiple Answer

  Question  

What are the features of line charts?

  Correct Answer  

It connects closing prices from one period to the next , It is ideal for securities with no high or low price data

  Your Answer  

It connects closing prices from one period to the next , It is ideal for securities with no high or low price data

 

 Multiple Choice Single Answer

  Question  

What is the objective of Portfolio management?

  Correct Answer  

To Minimize risk and maximize return

  Your Answer  

To Minimize risk and maximize return

 

 True/False

  Question  

The risk associated to get the required rate of return on the stock is measure by market beta.

  Correct Answer  

True

  Your Answer  

True

 

 Match The Following

Question

Correct Answer

Your Answer

Growth of income

40-60 % debt, 40-60 % equities

40-60 % debt, 40-60 % equities

Current income

Short term debt portfolio

Short term debt portfolio

Stability of principal

Fixed - income portfolio

Fixed - income portfolio

Appreciation

75-100 % in equities

75-100 % in equities

 

 Select The Blank

  Question  

________ refers to the possibility that there may not be a readily available market for the particular bond.

  Correct Answer  

Liquidity risk

  Your Answer  

Liquidity risk

 

 True/False

  Question  

The cost structure remaining the same, better price realisation results in lower gross profit ratio.

  Correct Answer  

False

  Your Answer  

False

 

 True/False

  Question  

Five paisa.com is an example of on line trading portal.

  Correct Answer  

True

  Your Answer  

True

 

 Multiple Choice Single Answer

  Question  

What is balance of payments?

  Correct Answer  

Credit and debit transactions of a country

  Your Answer  

Credit and debit transactions of a country

 

 Select The Blank

  Question  

________ absorbs the excess demand or supply generated by hedgers and assume the risk of price fluctuations.

  Correct Answer  

Speculators

  Your Answer  

Speculators

 

 Multiple Choice Multiple Answer

  Question  

Major steps involved in construction of a index are :-

  Correct Answer  

Selecting a set of scrips to be used , Fixing starting date , Calculating market capitalisation

  Your Answer  

Selecting a set of scrips to be used , Fixing starting date , Calculating market capitalisation

 

 Multiple Choice Single Answer

  Question  

In any Economy, bridge is created between savers and who need the funds by this system :-

  Correct Answer  

Financial

  Your Answer  

Financial

 

 Select The Blank

  Question  

________ is the value at a certain future date today of a stream of cash flows that occurs over a period of time.

  Correct Answer  

Future value

  Your Answer  

Future value

 

 Multiple Choice Single Answer

  Question  

How many measures of money supply are used commonly?

  Correct Answer  

2

  Your Answer  

2

 

 True/False

  Question  

PPF is a good retirement planning and tax saving vehicle.

  Correct Answer  

True

  Your Answer  

True

 

 Multiple Choice Multiple Answer

  Question  

The security analysis process will achieve :-

  Correct Answer  

True picture of a company , Normal earning power , Projection of future profitability

  Your Answer  

True picture of a company , Normal earning power , Projection of future profitability

 

 Select The Blank

  Question  

________ bonds are generally called for prepayment after interest rates have fallen, investors will not be able to find comparable investment avenues.

  Correct Answer  

Call risk

  Your Answer  

Call risk

 

 Select The Blank

  Question  

Debentures rated "BB" refers ________ of timely payment of interest and principal.

  Correct Answer  

Inadequate safety

  Your Answer  

Inadequate safety

 

 Multiple Choice Single Answer

  Question  

What is the goal of the Dow theory?

  Correct Answer  

To determine changes in the primary or major movement in the market

  Your Answer  

To determine changes in the primary or major movement in the market

 

 Multiple Choice Multiple Answer

  Question  

Who are the constituents of a mutual fund?

  Correct Answer  

Sponsor & trustees , Asset management company , Custodian

  Your Answer  

Sponsor & trustees , Asset management company , Custodian

 

 Multiple Choice Single Answer

  Question  

What is the indicator of buoyant economy?

  Correct Answer  

Increased level of housing construction activity

  Your Answer  

Increased level of housing construction activity

 

 Multiple Choice Multiple Answer

  Question  

What were the achievements of Bharat Forge during the year 2003?

  Correct Answer  

Secured second largest customer in China , Appointed a Company Secretary to act as compliance officer , New contracts won in passenger car components

  Your Answer  

Secured second largest customer in China , Appointed a Company Secretary to act as compliance officer , New contracts won in passenger car components

 

 Select The Blank

  Question  

The 6.________% tax saving bonds of government of India have a tenure of 5 years.

  Correct Answer  

5

  Your Answer  

5

 

 Select The Blank

  Question  

The compounded annual return of Kisan Vikas patra is ________.

  Correct Answer  

0.084

  Your Answer  

0.084

 

 True/False

  Question  

The labour conditions do not play an important role in the industry analysis.

  Correct Answer  

False

  Your Answer  

False

 

 Select The Blank

  Question  

________ is also known as random walk model.

  Correct Answer  

Weak form EMH

  Your Answer  

Weak form EMH

 

 Multiple Choice Single Answer

  Question  

Futures contract on individual securities shall expire on the last Thursday of the expiry month and if the last Thursday is a trading holiday then the contract shall expire on the :-

  Correct Answer  

Previous day

  Your Answer  

Previous day

 

 Match The Following

Question

Correct Answer

Your Answer

Technical collaboration of Bharat Forge with SIFCO industries USA

1981

1981

Bharat Forge was incorporated at Mumbai

1961

1961

Shares of 100 each subdivided of Bharat forge

1971

1971

930000 bonus shares issued by Bharat Forge

1976

1976

 

 Select The Blank

  Question  

________ ratio is estimated by dividing the market value of a firm's assets by the replacement cost of these assets.

  Correct Answer  

Market value to replacement cost ratio

  Your Answer  

Market value to replacement cost ratio

 

 Select The Blank

  Question  

Debentures rated ________ are judged to offer sufficient safety of timely payment of interest and repayment of principal.

  Correct Answer  

"BBB"

  Your Answer  

"BBB"

 

 Multiple Choice Single Answer

  Question  

As per the exhibit 18-1 for individual stock futures on NSE, the price steps in respect of all futures contract admitted to the dealings of the exchange shall be :-

  Correct Answer  

0.05

  Your Answer  

0.05

 

 Multiple Choice Multiple Answer

  Question  

The return to the bond investor can be measured in terms of :-

  Correct Answer  

Current yield , Yield to maturity , Realised yield

  Your Answer  

Current yield , Yield to maturity , Realised yield

 

 Multiple Choice Single Answer

  Question  

A derivative is a product whose value is derived from :-

  Correct Answer  

Value of an underlying asset

  Your Answer  

Value of an underlying asset

 

 Multiple Choice Single Answer

  Question  

Mr. Shekhar invests Rs.50,000/- in a scheme of LIC, the rate of interest is 8% compounded annually. What will be the value of his investment after 5 years?

  Correct Answer  

Rs. 73466/-

  Your Answer  

Rs. 73466/-

 

 Multiple Choice Single Answer

  Question  

What is the limitation of Flow-of funds analysis method?

  Correct Answer  

Cannot give indication of the inclination of market participants to purchase stock

  Your Answer  

Cannot give indication of the inclination of market participants to purchase stock

	LIST OF ATTEMPTED QUESTIONS AND ANSWERS

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