Job Exams Hero

Finance MCQs

Boost your knowledge of business and financial concepts with our comprehensive Finance MCQs, designed for students, job seekers, and professionals preparing for competitive exams. These multiple-choice questions cover financial management, accounting principles, investment analysis, corporate finance, working capital, ratio analysis, cost of capital, stock markets, risk management, capital budgeting, and time value of money. Highly valuable for candidates appearing in PPSC, FPSC, CSS, NTS, SPSC, BPSC, KPSC, ETEA, AJKPSC, as well as banking exams, finance officer posts, and commerce-related university tests (B.Com, M.Com, MBA, ACCA).

Browse Categories
Quick Results 0 found

Question Coming Soon!

"" isn't in our database yet, but we're adding new questions daily.

1 Finance MCQs

The difference between the price of the underlying asset and the exercise price of an option is called __________.

  • Extrinsic value of European option
  • Intrinsic value of option
  • Extrinsic value of option
  • Intrinsic value of European option
0 Comments
Correct Answer: B. Intrinsic value of option

Explanation:

The intrinsic value of an option is the difference between the current market ... Read More Details

2 Finance MCQs

The traders who take positions in the futures market based on expected price changes of underlying assets are called __________.

  • Professional traders
  • Non-investment traders
  • Position traders
  • Futures market traders
0 Comments
Correct Answer: C. Position traders

Explanation:

In the futures market, position traders are those who buy or ... Read More Details

3 Finance MCQs

The underwriter spread of stock is added to net proceeds to calculate ___________?

  • Overwriter spread
  • Gross proceeds
  • Participation proceeds
  • Non-participation proceeds
0 Comments
Correct Answer: B. Gross proceeds

Explanation:

In securities issuance, net proceeds represent the amount of money the issuing company ... Read More Details

4 Finance MCQs

The underwriter spread is subtracted from gross proceeds to calculate __________.

  • Gross proceeds
  • Cumulative proceeds
  • Non-cumulative proceeds
  • Net proceeds
0 Comments
Correct Answer: D. Net proceeds

Explanation:

When securities are issued in the primary market, investment banks or underwriters charge ... Read More Details

5 Finance MCQs

The prices adjusted daily to reflect current conditions of futures markets are called __________.

  • Market future prices
  • Mark-to-market prices
  • Market to invest prices
  • Present market prices
0 Comments
Correct Answer: B. Mark-to-market prices

Explanation:

In futures markets, prices are adjusted on a daily basis to show the effect of ... Read More Details

6 Finance MCQs

Which type of contract involves exchange of assets in the future with prices settled daily?

  • Spot contract
  • Forward contract
  • Futures contract
  • Present contract
0 Comments
Correct Answer: C. Futures contract

Explanation:

A futures contract is a financial agreement to buy or sell an asset at a ... Read More Details

7 Finance MCQs

The process in which a group of investment banks distributes securities is called what?

  • Task groups
  • Syndicate
  • Investment groups
  • Securitize groups
0 Comments
Correct Answer: B. Syndicate

Explanation:

When a company issues new securities, the distribution is often too large for a single ... Read More Details

8 Finance MCQs

The pre-specified price at which an underlying asset can be bought or sold is called what?

  • Maturity price
  • Strike price
  • Exercise price
  • Both B and C
0 Comments
Correct Answer: D. Both B and C

Explanation:

In options trading, the pre-determined price at which the holder can buy (call option) or ... Read More Details

9 Finance MCQs

When the price of the underlying asset is added to the intrinsic value of an option, it gives what?

  • Forward price of the option
  • Exercise price of the option
  • Book value of the option
  • Spot price of the option
0 Comments
Correct Answer: A. Forward price of the option

Explanation:

In derivatives, the forward price of an option is calculated by ... Read More Details

10 Finance MCQs

The fixed price at which investment banks purchase stock from the issuer is called what?

  • Non-cumulative proceeds
  • Net proceeds
  • Gross proceeds
  • Cumulative proceeds
0 Comments
Correct Answer: C. Gross proceeds

Explanation:

When a company issues new shares, investment banks often purchase them at a ... Read More Details