Security Analysis & Portfolio Management SCDL Solved Exam Paper 52

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

 
Thanks To: Deepak Goyal

 

 

Match The Following
Question	Answer
Weak form model is also termed as	Random walk model
Investors are rational	Efficient market hypothesis
Securities current prices fully reflect all historical information	Weak form EMH
Framework on efficient capital markets, a review of theory and empirical work	Fama
Multiple Choice Single Answer
Question	What are intermediate trends?
Answer	They are counter-cyclical trends within the confines of a primary trend
Select The Blank
Question	________involves a simultaneous sale and repurchase agreement.
Answer	Repos
Multiple Choice Single Answer
Question	In any Economy, bridge is created between savers and who need the funds by this system :-
Answer	Financial
Multiple Choice Multiple Answer
Question	What are the features of bank deposits?
Answer	Interest is presently around 6% , Benefits under section 80 L , Banks offer cheque facility for investors making it convenient to withdraw
Multiple Choice Multiple Answer
Question	What are the important macro economic indicators?
Answer	GNP growth rate , Price Conditions , Monsoons
Multiple Choice Single Answer
Question	If index future is taken under futures contract, the underlying asset would be :-
Answer	Stock index
True/False
Question	European style options are more expensive than American style because they offer greater flexibility to the buyer.
Answer	FALSE
Select The Blank
Question	________ model is based on the principle that an initial phase where the growth rate is not stable and subsequent steady growth rate and remains for the long-term.
Answer	The Two-Stage dividend discount
Select The Blank
Question	________ absorbs the excess demand or supply generated by hedgers and assume the risk of price fluctuations.
Answer	Speculators
Select The Blank
Question	When a debenture is sold to the general public a ________ is appointed.
Answer	Trustee
True/False
Question	Five paisa.com is an example of on line trading portal.
Answer	TRUE
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
Multiple Choice Multiple Answer
Question	Explain what are leverage ratios ?
Answer	Help in assessing the risk arising using the debt capital , Debt equity ratio and interest coverage ratio and DSCR are important leverage ratios , Debt is riskier source of finance as it entails fixed outgo of periodic payments
Multiple Choice Multiple Answer
Question	An options contract allows the investor :-
Answer	To earn a profit while restricting the downside risk , To use the options for speculation , Either to honour or walk away from the contract
True/False
Question	If rupee weakens against the dollar, it has favourable impact for the importers.
Answer	FALSE
Select The Blank
Question	UTI was set up in the year ________.
Answer	1963

 

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