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1 Finance MCQs

Financial securities that mature in less than a year are classified as which type of securities?

  • Saving intermediaries
  • Discounted intermediaries
  • Money market securities
  • Capital market securities
0 Comments
Correct Answer: C. Money market securities

Explanation:

The correct option is this Money market securities.


In Finance MCQs, distinguishing between short-term and long-term ... Read More Details

2 Finance MCQs

A type of financial security in which loans are secured by the borrowers’ property is classified as what?

  • Municipal bonds
  • Corporate bonds
  • U.S. Treasury bonds
  • Mortgages
0 Comments
Correct Answer: D. Mortgages

Explanation:

The correct option is this Mortgages.


In Finance MCQs, understanding different types of financial securities is ... Read More Details

3 Finance MCQs

Markets that deal with residential loans, industrial real estate loans, agricultural loans, and commercial loans are called what?

  • Residential markets
  • Mortgage markets
  • Agriculture markets
  • Commercial markets
0 Comments
Correct Answer: B. Mortgage markets

Explanation:

The correct option is this Mortgage markets.


In Finance MCQs, understanding the classification of financial markets ... Read More Details

4 Finance MCQs

In which type of partnership do all partners have limited liability?

  • Unlimited liability partnership
  • Limited liability partnership
  • Controlled partnership
  • Uncontrolled partnership
0 Comments
Correct Answer: B. Limited liability partnership

Explanation:

The correct option is this Limited liability partnership (LLP).


In Finance MCQs, understanding the types of ... Read More Details

5 Finance MCQs

When federal government tax revenues exceed government spending, what is it called?

  • Budget surplus
  • Budget deficit
  • Federal Reserve
  • Federal budget
0 Comments
Correct Answer: A. Budget surplus

Explanation:

The correct answer is Budget surplus.


In Finance MCQs, the concept of a budget surplus is ... Read More Details

6 Finance MCQs

In an initial public offering (IPO), what is the step called when hired agents act on behalf of the owners?

  • Hiring problems
  • Agency problems
  • Corporation internal problems
  • Corporation's external problems
0 Comments
Correct Answer: B. Agency problems

Explanation:

The correct option is this Agency problems.


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7 Finance MCQs

A mutual fund that allows investors to sell their shares during normal trading hours is called what?

  • Exchange-traded fund
  • Management expense
  • Money trade fund
  • Capital trade fund
0 Comments
Correct Answer: A. Exchange-traded fund

Explanation:

The correct option is this Exchange-traded fund (ETF).


In Finance MCQs, distinguishing between different types of ... Read More Details

8 Finance MCQs

Corporations such as Citigroup, American Express, and Fidelity are classified as which type of corporation?

  • Financial services corporations
  • Common service corporations
  • Preferred service corporations
  • Commercial service corporations
0 Comments
Correct Answer: A. Financial services corporations

Explanation:

The correct option is this Financial services corporations.


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9 Finance MCQs

Financial corporations that serve individual savers and commercial mortgage borrowers are called what?

  • Savings associations
  • Loan associations
  • Preferred and common associations
  • Savings and loans associations
0 Comments
Correct Answer: D. Savings and loans associations

Explanation:

The correct option is this Savings and loans associations.


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10 Finance MCQs

If the current stock price rises from low to high, what happens to the option value?

  • Option value equal to one
  • Option value will increase
  • Option value will decrease
  • Option value equal to zero
0 Comments
Correct Answer: B. Option value will increase

Explanation:

The correct option is this Option value will increase.


In Finance MCQs, understanding how stock price ... Read More Details