- Which one of the following is not among the assumptions of the Modigliani-Miller model?
(a) Perfect capital market
(b) Equivalent risk classes
(c) Absence of taxes
(d) Unity for dividend payout ratio - This is the set of laws, policies, incentives, and monitors designed to handle the issues arising from the separation of ownership and control.
(a) Corporate governance
(b) Defined benefit plan
(c) Agency theory
(d) Invisible hand - The 360 degree appraisal:-
(a) Aids in developing competitive intelligence
(b) Works best in large organizations.
(c) Diminishes the effect of development in the appraisal process.
(d) Provides feedback from a verity of individuals. - ________ is the study of how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and wants.
(a) Psychographic segmentation
(b) Consumer behavior
(c) Product Differentiation
(d) Target marketing - Management should find ‘One best way’ to perform a task. Which technique of Scientific management is defined in this sentence?
(a) Motion Study
(b) Time Study
(c) Fatigue Study
(d) Method Study - Identify the top most goal of human resource management.
(a) Work force adaptability
(b) Competitive edge
(c) Legal compliance
(d) Productivity - Shares ones dematerialized can never be rematerialized:-
(a) True
(b) False
(c) Depends on value of share
(d) Depends on SEBI order - Which of the following theory can’t explain a negatively sloped yield curve?
(a) Preferred habitat theory
(b) Liquidity preference theory
(c) Expectation theory
(d) Market segment theory - Indian Accounting Standard 28 is related to:-
(a) Impairment of Assets
(b) Financial Reporting of Interests in Joint Venture
(c) Provisions, Contingent Liabilities and Contingent Assets
(d) Accounting for taxes on income - ________ pricing is the approach of setting a low initial price in order to attract a large number of buyers quickly and win a large market share.
(a) Value-based
(b) Market-penetration
(c) Market-skimming
(d) Leader - The ________ is practiced most aggressively with unsought goods, goods that buyers normally do not think of buying, such as insurance, encyclopedias, and funeral plots.
(a) Selling concept
(b) Holistic marketing concept
(c) Product concept
(d) Marketing concept - Which of the following is a name, term, sign, symbol, design, or a combination of these, that identifies that maker or seller of a product or service?
(a) Label
(b) Brand
(c) Co-brand
(d) Product - ___________________ is recognised as father of “Human relations”.
(a) Hendry Fayol
(b) Elton Mayo
(c) William Gilbreth
(d) F.W.Taylor - The most suitable coverage ratio for deciding the debt capacity of a firm is:-
(a) Cash Flow Coverage Ratio
(b) Interest Coverage Ratio
(c) Fixed Assets Coverage Ratio
(d) Debt Service Coverage Ratio - In the process of conducting research ‘Formulation of Hypothesis” is followed by:-
(a) Selection of Research Tools
(b) Analysis of Data
(c) Collection of Data
(d) Statement of Objectives - This sub-area of finance involves methods and techniques to make appropriate decisions about what kinds of securities to own, which firms’ securities to buy, and how to be paid back in the form that the investor wishes.
(a) Investments
(b) Real markets
(c) Financial management
(d) None of these - Public Enterprise is defined as:-
(a) An organization in which capital is invested by public
(b) An organization owned and managed by public authorities for definite set of public purposes
(c) An organization run by joint efforts of Centre and State Governments
(d) An organization which caters to the needs relating to public utilities - What type of relationship between two variable is indicated by the sign ‘r’?
(a) Indirect
(b) Direct
(c) Both direct and indirect
(d) Extent or degree - The standard deviation of binomial distribution is:-
(a) Npq
(b) Np
(c) √np
(d) √npq - The value of correlation co-efficient depends on:-
(a) Origin
(b) Unit scale
(c) Both (a) & (b)
(d) Independent of origin and scale - In determining the required rate of return on a security the appropriate value of risk is:-
(a) beta
(b) covariance
(c) standard deviation
(d) correlation - Which of the following is a strategy of job design that increases job depth by meeting employees needs for psychological growth?
(a) Job rotation
(b) Job enrichment
(c) Job engagement
(d) Job enlargement - The term financial engineering is related to:-
(a) Capital issue
(b) Financial restructuring
(c) Cost of production
(d) Product planning - Meeting which is held only once in the life time of a public company is _________.
(a) Extra ordinary general meeting
(b) Annual general meeting
(c) Statutory meeting
(d) Class meeting - _________________ is a problem-solving technique designed to produce numerous ideas in a short period.
(a) Delphi technique
(b) Brain storming
(c) Nominal group technique
(d) Synectics - Which of the following is a non-parametric test?
(a) t-test
(b) chi-square test
(c) F test
(d) Z test - Mutually exclusive investment proposals are those:-
(a) That have unique features
(b) That reduce the total risk complexion of the firm
(c) Wherein the acceptance of one proposal leads to rejection of all other proposals
(d) That require special sources of financing - Who among the following is conferred right to premature payment of debenture with option (put)?
(a) Debenture holder
(b) Issuing company
(c) Government
(d) Promoter - VAT provides an instrument of taxing:-
(a) Exports
(b) Manufacturing of goods
(c) Imports
(d) Consumption of goods and services - A horizontal extension of the object to increase task variety is called:-
(a) Job evaluation
(b) Job rotation
(c) Job enrichment
(d) Job enlargement - A research paper is a brief report of research work based on:-
(a) Secondary Data only
(b) Primary Data only
(c) Both Primary and Secondary Data
(d) None of the above - Outgoing, talkative, social are part of __________ Personality Trait as per big 5 personality trait.
(a) Extroversion
(b) Friendly
(c) Introversion
(d) Openness to experience - ____________ is an implicit cost of production.
(a) Charges for electricity
(b) Interest on owned money capital
(c) Wages of the labour
(d) Payment for raw material - Consumer protection act was passed in the year _______.
(a) 1986
(b) 1987
(c) 1988
(d) 1985 - If events are mutually exclusive then:-
(a) The probability is less than one
(b) Both events cannot occur at a time
(c) Both contain every possible outcome of an experiment
(d) Their probability sum to one - The central limit theorem assures us that the sampling distribution of the mean:-
(a) Is always normal
(b) Appears normal only when N is greater than 1000
(c) Approaches normality as sample size increases
(d) Is always normal for large sample size - In general, financial leverage is more favorable, whenever the return on the assets exceeds:-
(a) Net return after tax
(b) Total cost of capital
(c) Cost of debt
(d) Cost of equity capital - In a whole life policy the sum insured become payable on the:-
(a) Expiry of policy
(b) Completion of 20 years
(c) Completion of 15 years
(d) Death of assured - Which of the following statements best describes ‘Mental Revolution’?
(a) Both management and workers require each other
(b) The management and workers should not play the game of onemanship
(c) Workers should be paid more wages
(d) It implies change of attitude - This sub-area of finance looks at firm decisions in acquiring and utilizing cash received from investors or from retained earnings.
(a) Investments
(b) Treasury management
(c) Financial management
(d) None of these - This should be the primary objective of a firm as it may actually be the most beneficial for society in the long run.
(a) Minimizing layoffs
(b) Minimizing costs
(c) Maximizing shareholder value
(d) Maximizing market share - Which theory holds that nations should produce those goods for which it has the greatest relative advantage?
(a) Theory of comparative advantage
(b) The theory of absolute advantage
(c) The theory of relative advantage
(d) The factor endowment theory - A contingency table always involves:-
(a) More than one variable
(b) Two variables
(c) Two dependent variable
(d) Two degree of freedom - The research carried out to expand the knowledge of a particular field is known as:-
(a) Basic research
(b) Quantitative research
(c) Qualitative research
(d) Applied research - Which of the following is must for a derivative contract to come into existence:-
(a) An exchange
(b) Price fluctuations
(c) An underlying asset
(d) Risk in investment - When referring to a curve that tails off to the left end, you would like call it:-
(a) Skewed left
(b) Positively skewed
(c) Negatively skewed
(d) Skewed right - The typical method of retail operation used by supermarkets and catalogue showrooms is called:-
(a) Full-service retailing.
(b) Self-service retailing.
(c) Limited-service retailing.
(d) Service-merchandiser. - _______________ and fringe benefits are no longer employees first priority.
(a) Promotions
(b) Rewards
(c) Wages
(d) Bonus - Rational buying motives that determine purchase decisions are mostly based on:-
(a) Price factor
(b) Advertisement
(c) Psychological factor
(d) Quality of product - A list of all the units in a population is called:-
(a) Universe
(b) Sample
(c) Sampling Frame
(d) Population - In a relative frequency distribution are represented in terms of:-
(a) Fraction
(b) Percentage
(c) Both (a) & (b)
(d) Whole number - If a discounted commercial bill is dishonored then the bank charges the drawer of the bill?
(a) Amount of bill plus interest with penalty
(b) Amount of bill plus penal charge
(c) Amount of the bill
(d) Amount of bill less discount charge - A business arrangement where one party allows another party to use a business name and sell its products or services is known as___
(a) An owner-manager business
(b) A limited company
(c) A franchise
(d) A cooperative - Which trade theory holds that nations can increase their economic well-being by specializing in the production of goods they produce more efficiently than anyone else?
(a) The theory of absolute advantage
(b) The international product life cycle theory
(c) The factor endowment theory
(d) The theory of comparative advantage - Which model is used for sequencing the job on the machines so as to minimize the total processing time?
(a) PERT
(b) CPM
(c) BEP
(d) sequencing model - SIDBI’s role in Capital Market can be identified by _____________.
(a) Equity type assistance
(b) Promoters
(c) Capital
(d) Debentures - MM Theory suggests that dividend payment:-
(a) Has a positive impact on the value of a firm
(b) Has a negative impact on the firm
(c) Has impact according to the percentage of dividend on the firm
(d) Has no impact on the firm - Which of the following statement is true:-
(a) Call option is right to buy
(b) European option can be exercised any time
(c) Put option is a right to buy
(d) American option can be exercised on expiry - Maximum likelihood estimator μ in normal population is:-
(a) Sample variance
(b) Sample mean
(c) Sample standard deviation
(d) Sample median - “Controlled Group” is a term used in _________.
(a) Descriptive research
(b) Historical research
(c) Experimental research
(d) Survey research - Which of the following observation is evidenced against the semi strong of EMH?
(a) 50% of fund manager outperform the market
(b) High beta stock tends to have higher return than low beta stock
(c) Stock prices rises after the announcement of profit and forecast
(d) Fund manager on the average do not outperform the market - Decisions which are non-repetitive and novel nature and required to solve unstructured problem is called as ___________.
(a) Programmed decisions
(b) Routine decisions
(c) Strategic decisions
(d) Non – programmed decisions - Match the Following:-
Part-A Part-B A.Simple Random Sampling i.Heterogeneous B.Stratified Random Sampling ii. Homogenous C.Cluster Sampling iii.Chronological list of units D.Systematic Sampling iv.Forest Tree type units (a) A- (ii); B-(i); C-(iv); D-(iii)
(b) B- A- (iii); B-(i); C-(iv); D-(ii)
(c) C- A- (iv); B-(iii); C-(ii); D-(i)
(d) D- A- (i); B-(ii); C-(iii); D-(iv) - In _________, machines and equipments are arranged in the order or sequence in which they are to be used for manufacturing the product.
(a) Factory Layout
(b) Product Layout
(c) Combined Layout
(d) Process Layout - The structure of an OB model includes 3 levels of analysis individual, group and organizational systems. Issues that influence all 3 levels in various ways and thus affect behavioural dynamics are:-
(a) Change and stress
(b) Work design and technology
(c) Organisational culture and commitment
(d) Power and politics - Misfeasance may be defined as:-
(a) Breach of Duty Imposed by law
(b) Negligence without any loss or damage
(c) Loss or damage without negligence
(d) Breach of duty to take care - When the result of hypothesis testing are statistically significant, this means:-
(a) The obtained probability is equal to or less than α
(b) Rejecting the null hypothesis
(c) Both (a) & (b)
(d) Either (a) or (b) - Quantitative methods of forecasting includes:-
(a) Sale force composite
(b) Technological forecast
(c) Consumer market survey
(d) Smoothing approach - The degree of freedom for standard error of estimate are n-k-1. What does k stands for:-
(a) Number of independent variable
(b) Total number of variables
(c) Number of observation
(d) Mean of the sample value of dependent variable - If type I and type II errors are fixed then the power of a test increases with:-
(a) Not related to sample size
(b) Decrease of sample size
(c) Proportional to sample size
(d) Increase in sample size - _______ identified innovation as a characteristic of entrepreneur for the first time in 1934.
(a) William Diamond
(b) J.A. Schuumpeter
(c) A.H.Cole
(d) W.B.Gartner - Which of the following is the first step in starting the research process?
(a) Searching sources of information to locate problem
(b) Searching for solutions to the problem
(c) Survey of related literature
(d) Identification of problem - The Hawthome experiment was conducted by:-
(a) F.W.Taylor
(b) William Gilbreth
(c) Hendry Fayol
(d) Elton Mayo - Action research means:-
(a) A longitudinal research
(b) A research initiated to solve an immediate problem
(c) An applied research
(d) A research with socioeconomic objective - The sum of the square of deviations from mean is:-
(a) Maximum
(b) minimum
(c) zero
(d) uncertain - “Leadership motivates the people to work and not the power of money”, this concept is related to:-
(a) Autocratic model
(b) Supportive Model
(c) Custodial model
(d) Collegial Model - A portfolio with zero initial investment is possible when:-
(a) All the securities/portfolio fall on efficient frontier
(b) All portfolio offer same return irrespective of risk
(c) Investors are risk neutral
(d) Arbitrage opportunity exist - __________________ is the systematic development of a project idea for the eventual purpose of arriving at an investment decision.
(a) Project formulation
(b) Project identification
(c) Project feasibility
(d) Project evaluation - In the Cobb-Douglas production function the elasticity of substitution between factors is _______.
(a) Equal to one
(b) Less than one
(c) Zero
(d) Greater than one - Characteristic line can be used:-
(a) To relate risk and return
(b) To bifurcate risk
(c) To bifurcate return
(d) To estimate expected return - The demand curve for a product will shift outwards to the right when:-
(a) The price of a substitute good rises
(b) Consumer incomes fall
(c) Consumers expect the price of the good to fall in the future
(d) The price of the product itself falls - Includes practices such as overstating the product’s features or performance, luring the customer to the store for a bargain that is out of stock, or running rigged contests.
(a) Deceptive cost structure
(b) Deceptive promotion
(c) Deceptive pricing
(d) Deceptive packaging - To adopt the Sharpe index model for a portfolio of 40 stocks, the number of bits of information one needs are:-
(a) 120
(b) 102
(c) 82
(d) 122 - In economic theory, the term ‘Ceteris Paribus ‘ is used to indicate _______.
(a) Other things are equal
(b) Cost and revenue are constant
(c) Demand and supply are equal
(d) Condition of full employment exists - Risk free rate of return = 5 %, market return = 10%, cost of equity=13%, value of beta is:-
(a) 1.2
(b) 1.5
(c) 1.6
(d) 1.8 - ______________ is a form of financing especially for funding high technology, high risk and perceived high reward projects.
(a) Seed capital
(b) Current capital
(c) Venture capital
(d) Fixed capital - IPO grading has been started by:-
(a) ICRA
(b) FITCH
(c) CARE
(d) CRISIL - Company X has a beta of 1.5. the expected return is 15% and the risk-free rate of interest is 5%. What is the market return:-
(a) 12.33%
(b) 10.33%
(c) 15.67%
(d) 6.67% - If two goods are perfect substitutes to each other, then is necessarily follows that:-
(a) An indifference curve relating to the two goods will be curvilinear
(b) An indifference curve relating the two goods will be concave to the origin
(c) An indifference curve relating the two goods will be convex to the origin
(d) An indifference curve relating to the two goods will be linear - A jobber is one who:-
(a) Only buys the stock
(b) Creates the job for another broker
(c) Only sells the stock
(d) Give two-way quotation - An entrepreneur who owns more than one business at a time is called ________.
(a) An intrapreneur
(b) A portfolio entrepreneur
(c) A corporate entrepreneur
(d) None of the above - Which of the following is an exchange risk management technique through which the firm contracts with a third party to pass exchange risk onto that party, via instruments such as forward contracts, futures, and options?
(a) Risk avoidance
(b) Risk transfer
(c) Risk adaptation
(d) Diversification - A white marubozu is a:-
(a) Candlestick with a long body and a long shadow
(b) Candlestick with a short body and a long shadow
(c) Closing price is equal to the lowest, and the opening price is equal to the highest
(d) Candlestick with a long body and without shadow - According to which theory will differences in nominal interest rates be eliminated in the exchange rate?
(a) The Leontief paradox
(b) The Fisher effect
(c) The combined equilibrium theory
(d) The PPP - Risk lovers utility curves have:-
(a) Negative slope
(b) Positive slope
(c) Convex to the origin
(d) Negative and convex to the origin - The value of an index contract is Rs.1,00,000. the value of the portfolio is Rs.6,00,000 and the portfolio beta is 1.5. the number of future contracts bought/sold is:-
(a) 8
(b) 9
(c) 10
(d) 6 - A short straddle is:-
(a) Buying a put and call at the same price
(b) Selling a put and buying a call at the same price
(c) Selling a put and call at the same price and expiration date
(d) Buying a put and selling a call at the same price - Customer’s evaluation of the difference between all the benefits and all the costs of a marketing offer relative to those of competing offers refers to which of the following options?
(a) Customer perceived value
(b) Marketing myopia
(c) Customer relationship management
(d) Customer satisfaction - In which one of the following situations, should a country pursue a cheap money policy ____________.
(a) Gold is likely to flow outside the country
(b) Price level is rising
(c) BOP is unfavorable
(d) Level of economic activities and employment is low - Suppose a firm is producing at level of output, such that MR>MC what should be the firm do to maximize profit?
(a) The firm should decrease price.
(b) The firm should do nothing
(c) The firm should increase output
(d) The firm should hire less labor