Security Analysis & Portfolio Management SCDL Solved Exam Paper 53

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

 
Thanks To: Deepak Goyal

 

LIST OF ATTEMPTED QUESTIONS AND ANSWERS
True/False
Question	Following a decline, heavy volume with little price change is indicative of accumulation and is normally a bearish factor.
Answer	FALSE
Select The Blank
Question	________are good benchmark to compare the ratios for a firm.
Answer	Industry averages
Multiple Choice Single Answer
Question	A market that is trading at a Price earning ratio that is much higher than its historical norms is considered to be :-
Answer	Over valued
Multiple Choice Single Answer
Question	What are short term trends?
Answer	Trends which interrupt the course of the intermediate cycle
Select The Blank
Question	UTI was set up in the year ________.
Answer	1963
True/False
Question	European style options are more expensive than American style because they offer greater flexibility to the buyer.
Answer	FALSE
Multiple Choice Single Answer
Question	More than half the variation in stock price could be attributed to which factor?
Answer	Market influence
Select The Blank
Question	A ________ rally for stocks generally takes place because of an improved outlook for business conditions over what was anticipated.
Answer	Bear market
Multiple Choice Multiple Answer
Question	What are the features of Kisan Vikas Patra?
Answer	Term is for 8 years seven months , Provision of premature withdrawal , Interest rate is 8.4% compounded annually
Multiple Choice Single Answer
Question	What is Gross National Product ?
Answer	Gross income generated from within the country
Multiple Choice Single Answer
Question	Capital expenditure -depreciation +change in working capital -(new debt issued - debt repaid) =
Answer	Equity reinvested in business
Multiple Choice Single Answer
Question	What levels if increased will have unfavourable impact on the stock market?
Answer	Higher levels of taxation
Multiple Choice Multiple Answer
Question	The Two-Stage dividend discount model is based on the assumption of :-
Answer	An initial phase where the growth is not a stable growth rate , A subsequent steady state of growth rate being stable and lasts n years , A stable growth phase lasts forever
Select The Blank
Question	________ refers to the possibility that there may not be a readily available market for the particular bond.
Answer	Liquidity risk
Select The Blank
Question	The Derivative market is divided into Future market and ________ market.
Answer	Options
Multiple Choice Multiple Answer
Question	The features of bond are :-
Answer	Collateral , Call provision , Sinking fund and protective covenants
Multiple Choice Single Answer
Question	In India futures on individual securities have been introduced by :-
Answer	BSE & NSE
Multiple Choice Single Answer
Question	The expected price of the stock at the end of the holding period is determined by future dividends and the value of the stock is the present value of dividends through infinity are the underlying assumptions of :-
Answer	The General model
True/False
Question	Sensex is the index of Calcutta Stock Exchange.
Answer	FALSE
True/False
Question	In case of assured returns, A scheme cannot promise returns unless such returns are fully guaranteed by sponsor or AMC.
Answer	TRUE
Multiple Choice Single Answer
Question	What is GDP at factor cost ?
Answer	Excludes net income received from abroad
True/False
Question	Quick assets consist of current assets less inventories.
Answer	TRUE
Multiple Choice Multiple Answer
Question	The Gordon growth model is best suited for firms :-
Answer	Growing at a rate equal to or lower that the growth in the economy , Which have well established dividend payout ratio policy , Whose earnings are steady and perpetual
Select The Blank
Question	Mutual fund is to be registered with ________ before raising funds from public.
Answer	SEBI
Multiple Choice Single Answer
Question	What does lower level of unemployment indicates?
Answer	Positive economic conditions
Multiple Choice Single Answer
Question	The GDP growth rate in the economy in real terms has fluctuated between :-
Answer	4% and 5%

 

 

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