Level 2 – Final Quiz – Set C

_________ uses financial analysis to envisage the movement of stock prices.

Fundamental analysis is a ___________methodology

Kind of advantage gained by offering greater value to customers as compared to competitors is classified as

How a company is situated relative to its competitors is referred to as

Can you identify which of the following forces does not form part of Porter’s Competitive Position Analysis?

Which of the following is true about the current ratio?

A bar chart is used to illustrate

Which of the following is not part of technical analysis?

The daily opening price is represented on a candlestick chart by the

The two primary tools of technical analysts are

The buyer of a bond put option

Interest-rate swaps are

Which of the following statements about swaps is not true?

Risk in average individual stock can be reduced by placing an individual stock in?

What does standard deviation measure?

Many long terms fixed rate lenders often do not want the mezzanine in the form of debt; therefore the mezzanine lender becomes an investor in the owner of the borrower and has a preferred return and a liquidation preference prior to the equity investors. This is known as

___________in real estate is provided by a number of traditional and non-traditional investors. These funds are provided by the investors to get shares and at the same time the investors are also provided with a share in the profits earned from the particular property.

Which is a loan given for expanding or extending an existing home that has already been purchased by the buyer?

What are investments that occupy a middle position in the capital stack, as a subordinated debt or preferred equity
position. It gives ownership in a pooled vehicle. It can be open-ended or closed-ended.

Which of the following is the correct definition for a heuristic?

The idea that financial statements should be free from bias is part of which characteristic

Actor – observer difference bias is concerned with the difference between

Which of these are benefits of heuristics?

People often use ________ shortcuts that reduce complex problem solving to more simple judgmental?

Which of the following is not a type of reference group?

_____________refers to a type of selective perception that emphasizes ideas that confirm our beliefs, while devaluing whatever contradicts our beliefs.

This CRM characteristic applies technology across organizational boundaries with a view to optimizing company, partner and customer value. This is

Which of the following is not a CRM model?

Which of the following is the last phase in CRM implementation ?

__________is a high-level plan of action that aligns people, processes and technology to achieve customer-related goals.

Which one of the following is not a geo-demographic basis for market segmentation?

When your credit line is reduced by an anticipated purchase this is known as

A good example of closed-end credit is

Which of the following reflects the extent of the probability of a default?

Who has made it mandatory for banks to comply with an individual’s desire to access his or her credit report?

The working capital requirement is

Companies may adopt an aggressive or a conservative working capital policy. An aggressive policy means that a company

Once the application is approved, to get the SEBI registration certificate, the corporate participant needs to pay a registration fee of Rs. __________

The presence of entry/exit load ___________ the expense ratio of the portfolio and ________ the final take-home returns

Which of the following is the first step in portfolio management

Markets in which funds are transferred from those who have excess funds available to those who have a shortage of available funds are called

What is likely to happen if many new businesses enter a market?

In relation to a Company, investors are least concerned with

Which group of ratios shows the extent to which the firm is financed with debt?

The required rate of return on equity is the most appropriate discount rate to use when applying a

Which of the following is not part of technical analysis?

Which type of chart has no time horizon?

The daily opening price is represented on a candlestick chart by the

The two primary tools of technical analysts are

An option on a swap is a

A contract that gives the holder the right to sell a specified quantity of the underlying assets at a predetermined price
on or before a fixed expiration date is known as

A contract that gives the holder the right to purchase a specified quantity of the underlying assets at a predetermined
price on or before a fixed expiration date is known as

What is the impact, all else equal, of an increasing volatility of the stock price on the value of an option?

Which one of the following statements is not correct about commodities?

Which of the following statements about margin requirements is wrong?

Which of the following does the most to reduce default risk for futures contracts?

What is needed for developing a product in the initial stages?

Which of the followings provided at a stage when product has been launched in the market but has not earned enough profits to meet future capital needs?

REMF’s must mandatorily invest a minimum of ___________of their total assets in real estate assets.

The historic performance of real estate, combined with its ability to __________ diversification and hedge inflation, and ________ risk adjusted performance, makes the case for the inclusion of real estate in a diversified portfolio.

An appraisal is

What is the objective of most appraisals?

If a person gives too much weight to recent information compared to prior beliefs, they would make

This model predicts that people consume an annuity of their expected lifetime income at all points in their life.

Cognitive consonance occurs when

This happens when mutual understanding is so deep that each can act as substitute for the other in interpersonal interaction. This is found in the later stages of relationship development.

Provision of caring, individualized attention to customers IN SERVQUAL model refers to

_____________occurs when the company’s communications with customers promise a level of service performance that the service delivery system cannot provide

A ___________ is one that requires some type of collateral as a condition of borrowing 

___________is a second mortgage that borrows against the equity in home and uses the house as collateral to secure the loan. Tapping this accesses the portion of the home borrower has paid for to get one lump-sum payment without having to sell home or refinance first mortgage.

For the Auto loan,the maximum loan amount is up to _______times the annual salary (for salaried professionals) or ________times the annual income (for self employed professionals).

Mr. Karthik has taken a loan of Rs.80,00,000 at Interest rate is 11% p.a. reducing monthly for 30 years. Calculate interest paid in 25th installment.

Mr. Mishra has taken a housing loan of Rs. 1.5 cr for 20 years @ 12% p.a. reducing monthly. Calculate interest paid in 2nd last installment.

Mr. Mishra has taken a housing loan of Rs. 1.5 cr for 20 years @ 12% p.a. reducing monthly. Calculate total interest paid in last 6 years.

Mr. Narayan made an investment Rs. 200,000 with a bank for 1 year at an interest rate of 11% p.a. compounded annually. Compute Post tax return of Mr. Narayan if he pay tax @ 30%.

Your client wants to buy a house in 3 years in an area where the current price is Rs.56 lakhs appreciating at 8% pa. He can afford loan up to Rs. 36 lakh. He has an FD of Rs.8,00,000 which are maturing shortly. You find that reinvesting in FD would not fetch good return. You advice to shift the entire FD maturity to long run debt scheme, expected to return 12% pa for next 2 years. He can additionally invest Rs.30,000 pm for the goal which you advice to invest in equity which you expect to return 15% pa in the next 2 years. You shift the debt & equity accumulation to liquid fund returning 5% pa in the third year while additionally investing in that fund. You estimate achievement of own fund for house to be

As per the Real Estate (Regulation and Development) Act, 2016, what percentage of collections needs to be deposited by developers in Escrow accounts towards the cost of construction including that of land

Which of the following are the two concepts of real estate that a registered licensee or broker should know and understand?

How is land different than other property assets?

A ____________gathers capital from a group of investors and uses it to purchase a portfolio of properties

Which of the following is a deattraction in investment in agriculture land

A_______ is a form of security interest granted over an item of property to secure the payment of a debt or performance of some other obligation.

Regarding interest rate swaps, all of the following are true except

If a person sells an in the money call option with strike price of Rs. 2600 at a premium of Rs. 154 and buys an out of the
money call option with strike price Rs. 2800 at a premium of Rs. 49. If on expiry the stock closes at 3200, the net pay-off would be

If a trader goes long in a put option of strike Rs.6200 and pays a premium of Rs.220 and at the same time to reduce his cost, shorts Rs.6000 strike put option and earns a premium of Rs.170, What would be his net pay off if current market price is Rs.5400?