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This set of Indian Financial System Multiple Choice Questions & Answers (MCQs) focuses on Indian Financial System Set 11

Q1 | A nation consists of ————— economic units.
  • 5
  • 4
  • 3
  • 2
Q2 | ————— functions as an intermediary between savers and investors.
  • economic system
  • financial system
  • monetary system
  • barter system
Q3 | Financial markets are markets that deal in ————— assets and creditinstruments.
  • fixed assets
  • financial assets
  • current assets
  • all of these
Q4 | ————— represent claims for the payment of a sum of money sometimesin the future and/or a periodic payment in the form of interest or dividend.
  • physical asset
  • fixed asset
  • financial asset
  • none of these
Q5 | RBI started functioning on —————.
  • 1-4-1935
  • 1-4-1948
  • 1-4-1882
  • 1-4-1945
Q6 | ————— has the statutory powers to regulate and promote the Indiancapital market.
  • Registrar of issue
  • Merchant banks
  • SEBI
  • RBI
Q7 | Any company making a public issue of value of more than Rs. ———— isrequired to file a draft offer document with SEBI.
  • 100 lakh
  • 25 lakh
  • 50 lakh
  • 10 lakh
Q8 | ————— Committee was constituted by SEBI for deciding aboutderivatives trading.
  • L.C.Gupta
  • R. L. Gupta
  • Vaghul
  • Malhotra
Q9 | …………………… facilitate the transfer of funds from savers to theborrowers.
  • goods market
  • money market
  • financial market
  • consumer market
Q10 | Which of the following is a financial asset
  • gold
  • silver
  • share
  • Land
Q11 | ................... are drawn by contractors on the Govt. departments for thegoods supplied to them
  • treasury bills
  • supply bill
  • bill of lading
  • documentary bill
Q12 | ..................... are an important instrument of short term borrowing bythe Govt.
  • National saving certificate
  • Bonds
  • Treasury bill
  • Any of the above
Q13 | ..................... are short term deposits of specific maturity similar to fixeddeposits.
  • commercial paper
  • interbank participation certificate
  • Repo
  • Certificate of deposit
Q14 | ..................... is an unsecured short term promissory note issued bycreditworthy companies?
  • commercial paper
  • interbank participation certificate
  • Repo
  • Certificate of deposit
Q15 | Discount and Finance House of India was set up in pursuance of therecommendations of .....................Committee
  • Malegam
  • Malhotra
  • Vaghul
  • Narasimham
Q16 | ..................... has been set up mainly to provide a secondary market inGovt. Securities
  • DHFI
  • OTCEI
  • STCI
  • NSDL
Q17 | Right shares are offered to.....................
  • Debenture holders
  • Existing shareholders
  • List 2 contributories
  • Liquidators
Q18 | ..................... is a process of admitting securities for trading on arecognised stock exchange.
  • registration
  • filing
  • listing
  • admission
Q19 | ..................... is a preferential independent broker who deals in securitieson his own behalf.
  • Jobber
  • sub broker
  • Remisiers
  • Arbitragers
Q20 | The facility to carry forward a transaction from one settlement period toanother is known as ..................... transaction
  • Badla
  • arbitrage
  • cornering
  • trading inside
Q21 | The device adopted to make profit out of the differences in prices of asecurity in to different markets is called.....................
  • cornering
  • prise rigging
  • arbitrage
  • margin trading
Q22 | The central depositary ..................... the security on behalf of theinvestors
  • hold
  • transfer
  • both a & b above
  • none of these
Q23 | ........................ is an apex institution to coordinate, supplement andintegrate the activities of all existing specialised financial institutions.
  • IFCI
  • IDBI
  • RBI
  • SEBI
Q24 | ICICI was set up in ........................
  • 1955
  • 1964
  • 1989
  • 1935
Q25 | ........................ assists mainly to industrial undertakings in the privatesector
  • IFCI
  • IDBI
  • ICICI
  • SEBI