Need Answer Sheet of this Question paper, contact
www.mbacasestudyanswers.com
ARAVIND – 09901366442 – 09902787224
Portfolio Management
Multiple Choices:
1. _________ is the market for issue of new securities.
a. Secondary Market
b. Consumer Market
c. Primary Market
d. Stock Market
2. Inflation is measured in terms of either wholesale price
or_______.
a. Face Value
b. Retail Prices
c. MRP Value
d. Tax Value
3. _______ is basically a channel through which the savings
of investors are made available to
corporations for investment.
a. Consumer Market
b. Stock Market
c. Retail Market
d. Whole sale Market
4. The share premium reserve is the amount paid by the
______ in excess of the par value of the shares.
a. Shareholders
b. Stakeholders
c. Tax payers
d. Employees
5. _______ measures the return on sales and assets of the
firm.
a. Liquidity Ratios
b. Turnover Ratios
c. Common Stock Ratios
d. Profitability Ratios
6. In which of the following chart, the closing price for
each period is plotted as a point?
a. Line Chart
b. Bar Chart
c. Point and Figure Chart
d. R- Chart
7. Capital gains or losses arise when the investors sells
his securities at a price____.
a. Similar from the Cost
b. Different from the Cost
c. Different from the Profit
d. Similar from the Loss.
8. A steep rise in price, followed by wide uniform
fluctuations around an average price lead to formulation of a ______.
a. Channel
b. Triangle
c. Flag
d. Wedge
9. CML stands for______.
a. Capital Market Life
b. Cost Market Line
c. Capital Market Line
d. Capital Measurement Line.
10. The security return on any day is defined as:-
a. Today’s Return = Today’s Price + Yesterday’s Price
Yesterday’s Price
b. Today’s Return = Today’s Cost―yesterday’s Cost
Yesterday’s Price
c. Today’s Return = Today’s Price + Today’s Cost
Yesterday’s Price
d. Today’s Return = Today’s Price ― yesterday’s Price
Yesterday’s Price
Part Two:
1. Discuss the characteristics of Stock Exchange in India.
2. Describe the Dow Theory.
3. Write a short note on Capital Market Line.
4. Mr. X has put Rs. 9000 in a
five – year fixed deposit account with a bank. If the bank pays interest at the
rate of 15% per annum how much money would Mr. X receive on maturity of the
deposit?
5. Mr. Robert bought 90 shares of
ICA Fertilizers Ltd. at Rs. 59 each on 1/1/2008. On 1/6/2008, the company
issued bonus shares in the ratio of 1:2. On 1/1/2010 Robert sold 35 of the
bonus shares for Rs. 78. What is the capital gain made by him ignoring
indexation?
1. Analyze the characteristics of companies which have a
small asset base and a low ratio of Market to book Value?
2. Market capitalization of a
company is a product of number of outstanding shares and the current market
price. Since the current market price (CMP) of the stock does not remain
constant, is investing for a long-term in a company looking at its present
market value a good guiding principle? Explain.
1. Why is the government reluctant to provide concession or
remove tax on dividends declared by dedicated gilt funds?
2. How can dedicated gilt funds be used to develop a retail
segment for government securities?
3. If dedicated gilt funds are exempted from income tax for
individuals, what will be the implications of such measures on the retail gilt
market?
1. Discuss the concept of Portfolio Insurance.
2. Discuss the fundamental notions of modern portfolio
theory.
3. Consider a Rs. 50 crores
mutual funds floated on 1-1-2003 with a life of 8 year. The fund estimates that
its annual outflow on account of dividend, operating and management costs would
amount to Rs.15.5 crores. Suppose that the rate of interest is 16%. What is the
target duration for this mutual fund?
Need Answer Sheet of this Question paper, contact
ARAVIND – 09901366442 – 09902787224
No comments:
Post a Comment