Scribd
Upload
10 views

Sources of Finance

Uploaded by

Sriram Swaminathan
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
10 views

Sources of Finance

Uploaded by

Sriram Swaminathan
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 8

1.

Investors who want steady income may not prefer


1. Bonds
2. Equity Shares
3. Debentures
4. None of the above

2. Money obtained by issue of shares is known as


1. Debt
2. Loans
3. Reserve Funds
4. Share Capital

3. ICICI was established in


1. 1985
2. 1975
3. 1965
4. 1955

4. ______ was the first company in India to issue convertible zero interest
debentures in January 1990
1. Mahindra and Mahindra
2. Adani Enterprise
3. Tata Motors
4. Reliance Limited

5. __________ was the first company in India to issue convertible zero interest
debentures in January 1990
1. Reliance Limited
2. Adani Enterprise
3. Tata Motors
4. Mahindra and Mahindra

6. ADRs are issued in


1. Canada
2. China
3. India
4. USA

7. An individual authorized by another person, called the principle to act on the latter
on behalf is known as
1. Agent
2. Servant
3. Subordinate
4. Assistant
8. Debentures represent
1. Fixed capital of the company
2. Permanent capital of the company
3. Fluctuating capital of the company
4. Loan capital of the company

9. Dividend is paid only on


1. Bond
2. Debentures
3. Shares
4. Loans

10. Expand GDR


1. Global Depository Receipts
2. Gross Domestic Receipts
3. Government Direct Receipts
4. None of the above

11. Expand ICICI


1. Indian Credit and Investment Corporation of India
2. International Credit and Investment Corporation of India
3. Industrial Credit and Investment Corporation of India
4. None of the above

12. Funds raised through loans or borrowings are _____


1. Borrowed funds
2. Owners’ Equity
3. None of these
4. Share Capital

13. Funds required for purchasing current assets is an example of


1. Fixed capital requirement
2. Ploughing back of profits
3. Working capital requirement
4. Lease financing

ICICI was established in _________________


1. 1985
2. 1975
3. 1965
4. 1955

15. If a firm's debt ratio is 45%, this means _____ of the firm's assets are financed by
equity financing.
1. 50%
2. 55%
3. 45%
4. 100%

16. In which form of Business owners have limited liability is


1. Sole Proprietorship
2. Partnership
3. Joint Stock Company
4. Entrepreneurship

17. Industrial Finance Corporation of India (IFCI) was established in


1. July 1948
2. July 2001
3. July1956
4. July 1991

18. Internal sources of capital are those that are


1. generated through outsiders such as suppliers
2. generated through loans from commercial banks
3. generated through issue of shares
4. generated within the business

19. Investors who want steady income may not prefer ____________
1. Bonds
2. Equity Shares
3. Debentures
4. None of the above

20. Life insurance corporation was set up in ________


1. 1985
2. 1975
3. 1956
4. 1965

21. Money obtained by issue of shares is known as _____


1. Debts
2. Share Capital
3. Loans
4. Reserve Funds

22. Public deposits are the deposits that are raised directly from
1. The public
2. The directors
3. The auditors
4. The owners
23. Sources of finance can be categorised as _____________
1. Source of Generation Basis
2. Period Basis
3. Ownership
4. All of the above

24. The ordinary shares of a company are delivered to the depository bank; which in
turn issues the depository receipts; known as ____
1. Commercial banks
2. ADR
3. None of these
4. GDR

25. The term 'redeemable' is used for


1. Preference shares
2. Commercial paper
3. Equity shares
4. Public deposits

26. Under the lease agreement, the lessee gets the right to
1. Share profits earned by the lessor
2. Participate in the management of the organization
3. Use the asset for a specified period
4. Sell the assets

27. What are internal sources of capital?


1. Generated through issue of shares.
2. Generated through outsiders such as suppliers.
3. Generated within the business.
4. Generated through loans from commercial banks.

28. Which of the following factors that are considered to solve the financial problems
of business organizations are- i. Cost of Capital Supply ii. Importance and Objectives
of capital iii. Different types of benefits
1. i and ii
2. i and iii
3. ii and iii
4. i, ii and iii

29. Which of the following is a commercial bank?


1. Punjab National Bank
2. Canara bank
3. State Bank of India
4. All of the above

33. Which of the following statement is TRUE regarding debt?


1. Debt is an ownership interest in the firm.
2. Unpaid debt can result in bankruptcy or financial failure.
3. Debt provides the voting rights to the bondholders.
4. Corporation's payment of interest on debt is fully taxable.

34. _____________ was the first company in India to issue convertible zero interest
debentures in January 1990
1. Mahindra and Mahindra
2. Adani Enterprise
3. Tata Motors
4. Reliance Limited

35. ADRs are issued in


1. Canada
2. China
3. India
4. USA

36. Debentures represent


1. Fixed capital of the company
2. Permanent capital of the company
3. Fluctuating capital of the company
4. Loan capital of the company

Dividend is paid only on ___________


1. Loans
2. Debentures
3. Bonds
4. Shares

38. Equity shareholders are called


1. Owners of the company
2. Partners of the company
3. Managing Director of the company
4. Chairman of the company

39. Expand ICICI


1. None of these
2. International Credit and Investment Corporation of India
3. Indian Credit and Investment Corporation of India
4. Industrial Credit and Investment Corporation of India
40. Funds raised through loans or borrowings are ________
1. Borrowed funds
2. Owners Equity
3. None of these
4. Share Capital

41. Funds required for purchasing current assets is an example of


1. Fixed capital requirement
2. Ploughing back of profits
3. Working capital requirement
4. Lease financing

42. GDRs can be converted into shares _____________


1. At any time
2. After 5 years
3. After 10 years
4. After one year

43. ICICI was established in _________________


1. 1975
2. 1955
3. 1985
4. 1965

44. Industrial Finance Corporation of India (IFCI) was established in _______


1. July, 1948
2. July, 2001
3. July, 1956
4. July,

45. Internal sources of capital are those that are


1. generated through outsiders such as suppliers
2. generated through loans from commercial banks
3. generated through issue of shares
4. generated within the business

46. Investors who want steady income may not prefer ____________
1. None of these
2. Debentures
3. Equity Shares
4. Bonds
47. Life insurance corporation was set up in ________
1. 1965
2. 1956
3. 1975
4. 1985

48. Money obtained by issue of shares is known as ___________


1. Debts
2. Share Capital
3. Loans
4. Reserve Funds

49. Public deposits are the deposits that are raised directly from
1. The public
2. The directors
3. The auditors
4. The owners

50. State Industrial Development Corporations were established by _______


1. Ministry of Finance
2. None of these
3. Central Government
4. Different States

51. The maturity period of a commercial paper usually ranges from


1. 20 to 40 days
2. 60 to 90 days
3. 120 to 365 days
4. 90 to 364 days

52. The ordinary shares of a company are delivered to the depository bank, which in
turn issues the depository receipts, known as _______
1. Commercial banks
2. ADR
3. None of these
4. GDR

53. The term 'redeemable' is used for


1. Preference shares
2. Commercial paper
3. Equity shares
4. Public deposits

54. Under the factoring arrangement, the factor


1. Produces and distributes the goods or services
2. Makes the payment on behalf of the client
3. Collects the client's debt or account receivables
4. Transfer the goods from one place to another

55. Under the lease agreement, the lessee gets the right to
1. Share profits earned by the lessor
2. Participate in the management of the organization
3. Use the asset for a specified period
4. Sell the assets

56. Unit Trust of India was established by ___________


1. ICICI
2. State Bank Group
3. Indian Government
4. HDFC Bank

57. When one party grants the other party the right to use the asset in return for a
periodic payment, it is known as __________
1. Lease Financing
2. Factoring
3. Public Deposits
4. Debts

You might also like