Finance quiz

Q.1) Identify the accounting concept.

Q.2) Suppose that a stock price has an expected return of 16% per annum and a volatility of 30%
per annum. When the stock price at the end of a certain day is $50, what will be the expected
stock price at the end of the next day:
$51.00
$ 50.022
$50.00
$ 50.122
Q.3) If there is no basis risk, the minimum variance hedge ratio is always 1.0." Is this statement
true?
Yes
No
Q.4) Identify the concept.

Q.5) Negative financial information (excluding bankruptcy) can stay on your credit report for:
A. 2 years
B. 5 years
C. 7 years
D. 10 years

Q.6) He studied at St. Xavier's School, New Delhi and graduated in Commerce from Shri Ram
College of Commerce He passed his Law degree from the University of Delhi .He is serving
very important post in North Block. Name the personality.
Q.7) Duration is also the price elasticity, which is the percentage change in _______ for a
percentage change in ______.
Yield, price
Price, maturity period
Price, yield
Yield, maturity period
Q.8) Identify this building which is half replica of World Trade Center. Name the building, place
and the architect?

Q.9) I desire $900 as the proceeds of a 90 day loan from my banker B who charges 5% discount.
What sum will I pay at the end of 90 days?

$ 910.182
$ 911.392
$ 912. 451
$ 913.522

Q.10) At what price should a 4% annuity bond for $5,000, payable in 8 equal annual payments,
be purchased at the end of 3 years (just after the third payment has been made), if 5% (converted
annually) is to be realized on the investment?
$3215.24
$3213.19
$3201.26
$3221.29
Q.11) Identify the concept from images.

Q.12) These two deustche bank towers have a very crafty name.The two aspects of financial
transaction?

Q.13) The two month interest rates in Switzerland and the United States are 4% and 10% per
annum, respectively, with continuous compounding. The spot price of the Swiss franc is $0.9000.
The futures price for a contract deliverable in two months is $0.9100. What arbitrage
opportunities does this create?

 Arbitragers should sell Swiss francs and take long position on Swiss franc futures
Arbitragers should buy Swiss francs and short Swiss franc futures
Arbitragers should buy Swiss francs and take long position on Swiss franc futures
None of the above
Q.14) Find the amount of an annuity of $200 per annum for 10 years at 5% converted annually.
$ 2500.20
$ 2612.56
$ 2598.20
$ 2515.60
Q.15) Find the present value of a debt of $250 due in 6 months if the interest rate is 6%. Find the
true discount
$ 6.52
$ 7.28
$ 8.21
$ 9.52
Q.16) Identify the personality. He worked for New India Assurance Company before creating
one of the biggest scam of Indian Stock Market?

Q.17) From the image, find out the meaning relevant to stock market : up-?, down-? And No
signifiacnt movement- ?

Q.18) Consider a bond with one year to maturity. It pays a 4% coupon semiannually on a par
value of $100 and has an YTM of 6%. The price of the bond is
$ 100.92
$ 101.92
$ 102.92
$ 103.92
Q.19) a forward contract is an agreement made directly between two parties to buy and to sell a
commodity or financial asset:

On a specific date in the future; at a fixed price that is agreed at the outset between
the two parties.
On a variable date in the future; at a fixed price that is agreed at the outset between
the two parties.
On a fixed date in the future; at a variable price that is agreed at the outset between
the two parties.
On a variable date in the future; at a variable price that is agreed at the outset between
the two parties.
Q.20) Identify the personality who was alleged by authorities over the manipulation of interestrate benchmarks (Libor rigging)? Name the person and the organization he is connected with?