Security Analysis & Portfolio Management SCDL Solved Exam Paper 58

This solved paper of SCDL Security Analysis & Portfolio Management of SCDL Pune has been contributed by Deepak Goyal

 

Thanks To: Deepak Goyal

 

Multiple Choice Multiple Answer
Question	Which are the most popular types of orders placed through an online trading account?
Answer	Limit orders , Market orders
Multiple Choice Single Answer
Question	Mr.Satish invests Rs.10,000/- today. The rate of interest is 8% compounded annually. What will be the value of his investment after 5 years?
Answer	Rs.14.693/-
Multiple Choice Multiple Answer
Question	Growth of the firm can be estimated through :-
Answer	Firm's past earnings/historical growth rate , Estimates made by equity research analyst who follow the firm , Estimates from a firm's fundamentals
Multiple Choice Single Answer
Question	What is the rate of interest on the tax free bonds issue by the government?
Answer	0.065
Multiple Choice Multiple Answer
Question	Which of the following are important momentum indicators used widely?
Answer	Moving average convergence divergence(MACD) , Rate of change (ROC) , Relative strength indicator (RSI)
Select The Blank
Question	________ measures the profitability of operations without considering the influence of financial structure and tax rate.
Answer	Earnings power
Multiple Choice Single Answer
Question	When an investor invests in stock, expects to get the dividends and an expected price for the period the stock is held is the rule of :-
Answer	The General model
Select The Blank
Question	________ deal in futures to offset a pre-existing risk.
Answer	Hedger
Multiple Choice Multiple Answer
Question	What are the different types of profitability ratios?
Answer	Gross profit margin ratio , Earnings power , Return on equity
Multiple Choice Multiple Answer
Question	To measure the movement of stocks in the market which indices were constructed by Dow?
Answer	Dow Jones industrial Average , Dow Jones Transportation Average
True/False
Question	The price earning ratio is an increasing function of the payout ratio and the growth rate and a decreasing function of the riskiness of the firm.
Answer	TRUE
True/False
Question	If rupee weakens against the dollar, it has favourable impact for the importers.
Answer	FALSE
True/False
Question	A mutual fund is required to dispatch the dividend warrants to the unit holders within thirty days of the declaration of dividend.
Answer	TRUE
Multiple Choice Multiple Answer
Question	Active investment managers :-
Answer	Do not believe that markets are efficient , Puts efforts to search mispriced securities in the market , Are relatively active traders in securities to acquire abnormal returns
Multiple Choice Multiple Answer
Question	What are the features of candle stick charts?
Answer	Indicates in black if the closing price is lower than the opening price , Indicates in white if the closing price is higher than the opening price
True/False
Question	Bonds and Debentures represent long term debt instruments.
Answer	FALSE
Select The Blank
Question	The possibility of reduction of risk through the construction of a portfolio depends on the value of ________ between the two assets.
Answer	Correlation coefficient
Select The Blank
Question	A line is defined as a price movement two or three weeks or longer, during which period the price variation of both averages moves within a price range of approximately________%.
Answer	5
True/False
Question	The performance of a scheme is reflected in its NAV which is disclosed on a daily basis in case of open ended schemes.
Answer	TRUE
Multiple Choice Multiple Answer
Question	A firm's growth is determined by how much is re-invested into new assets and the quality of these investments, and these includes :-
Answer	Acquisitions , Building distribution channels , Expanding marketing capabilities and investing in new facilities
True/False
Question	Currently in India index options are both European and American in nature.
Answer	FALSE
Multiple Choice Single Answer
Question	A security represent evidence of :-
Answer	A property right
Multiple Choice Single Answer
Question	Mr.Saurabh invests Rs. 5,000/- today. The rate of interest is 4% compounded annually. What will be the value of his investment after 5 years?
Answer	Rs. 6083/-
Multiple Choice Single Answer
Question	When a firm can grow net profits by issuing equity, the expected growth rate in net profits is determined by :-
Answer	Equity reinvestment rate X return on equity
True/False
Question	Fixed assets turnover ratio measures the efficiency of utilisation of total assets, fixed as well as current.
Answer	TRUE
Select The Blank
Question	UTI was set up in the year ________.
Answer	1963
Select The Blank
Question	The regulations of SEBI with respect to mutual funds were fully revised in the year ________.
Answer	1996
Select The Blank
Question	________ take long or short positions only with the intention of making profits by getting out of the market when conditions favor them.
Answer	Speculators
Multiple Choice Single Answer
Question	What do you understand by money supply?
Answer	Total money in existence at any given time
Question	The GDP growth rate in the economy in real terms has fluctuated between :-
Answer	4% and 5%
Question	The sideways trend is essentially a transitional one which separates the two major market movements.
Answer	True
Question	What is the minimum investment amount in G-secs?
Answer	1000
Question	The Two-Stage dividend discount model is best suited for the firms that are :-
Answer	In high growth rate phase

 

 

Note: Please tally the answers and verify them from SCDL textbooks as all answers might not be correct.