Quiz#01

Income Minus Expenditure equals

• Savings

• Surplus

• Investments

• Return

When money is committed to another person for a period of time for earning higher returns, it is called

• Savings

• Investments

• Surplus

• Deficit

An Investment earns an income. This income is called return. The return is a compensation for all of the following. Choose 3

• The time period for which funds are committed. Longer the time period, higher the return

• The amount of inflation

• Uncertainty of future payment

• Safety of funds

Choose all the qualities of real assets. ( Choose 3)

• They are generally tangible

• They are financial contracts

• They appear as liabilities

• They can be used to produce other assets

 

Identify all real assets ( Choose 3)

• Machines

• Bonds

• Shares

• Furnitures

• Goodwill

Who are institutional investors in Financial assets? ( Choose 3)

• Investment Companies

• Government

• Insurance Companies

• Commercial Banks

• Householders

After considering current market conditions an investor decides to place 60% of their funds in equities and the rest in bonds. This is an example of

• Security analysis

• Top down portfolio management

• Asset allocation

• Passive management