MCQs for Class 12 Business Studies Chapter 10 Financial Market with Answer

MCQs for Class 12 Business Studies Chapter 10 : Class 12 BSt MCQs for Business Studies Chapter 10 ” Financial Market ” with Answers PDF Free Download is very important for students. CBSE Class 12 Business Studies Multiple Choice Questions with Answers to improve your score in Board Exams. Class 12 BSt All chapter MCQs

MCQs for Class 12 Business Studies Chapter 10 Financial Market with Answer

MCQs for Class 12 Business Studies Chapter 10 Financial Market with Answer PDF | Class 12 BSt All chapter MCQs

Q1. Primary and secondary markets:

(i) Control each other
(ii) Complement each other
(iii) Compete with each other
(iv) Function independently

(ii) Complement each other


Q2. The settlement cycle in NSE is

(i) T+5
(ii) T+3
(iii) T+2
(iv) T+1

(iii) T+2


Q3. NSE commenced futures trading in the year:

(i) 1999
(ii) 2000
(iii) 2001
(iv) 2002

(ii) 2000


Q4. Secondary market is in the form of

(i) stock exchange.
(ii) money market
(iii) new issue market.
(iv) commercial exchange

(i) stock exchange.


Q5. Which of the following statements is not true with regard to Commercial paper?

(i) Is a long-term unsecured promissory note with a fixed maturity period
(ii) It usually has a maturity period of 15 days to one year.
(iii) It is sold at a discount and redeemed at par.
(iv) Companies use this instrument for bridge financing.

(i) Is a long-term unsecured promissory note with a fixed maturity period


Q6. The total number of Stock Exchanges in India is:

(i) 22
(ii) 21
(iii) 23
(iv) 20

(ii) 21


Q7. National Stock Exchange in India was recognized as stock exchange in the year.

(i) 1992
(ii) 1993
(iii) 1994
(iv) 1995

(ii) 1993


Q8. Clearing and settlement operations of NSE are carried out by:

(i) NSDL
(ii) NSCCL
(iii) SBI
(iv) CDSL

(i) NSDL


Q9. SEBI is a regulator of

(i) capital market.
(ii) money market
(iii) commodity market.
(iv) overseas market

(i) capital market.


Q10. Which of the following statements is not true with regard to Call money?

(i) It is short-term finance repayable on demand
(ii) Its maturity period ranges from one day to fifteen days.
(iii) There is a direct relationship between call rates and other short-term money market instruments.
(iv) It is used for inter-bank transactions.

(iii) There is a direct relationship between call rates and other short-term money market instruments.


Q11. What is meant by Demat Account?

(i) Development Market Account
(ii) Depository Participant Account
(iii) Dematerialisation of Securities
(iv) Demand Depository Account

(iii) Dematerialisation of Securities


Q12. Which of the following falls in the category of Zero Coupon Bond?

(i) Treasury Bill
(ii) Commercial Paper
(iii) Certificate of Deposit
(iv) Commercial Bill

(i) Treasury Bill


Q13. A Treasury Bill is basically:

(i) An instrument to borrow short-term funds
(ii) An instrument to borrow long-term funds
(iii) An instrument of capital market
(iv) None of the above

(i) An instrument to borrow short-term funds


Q14. -is the market which helps existing investors to sell their securities.

(i) Primary market
(ii) Secondary market
(iii) Capital market
(iv) Commodity market

(ii) Secondary market


Q15. Which of the following statements is not true with regard to capital market?

(i) The funds are raised for a short period of time.
(ii) Both debt and equity funds can be raised
(iii) It is classified into two types.
(iv) All of the above.

(i) The funds are raised for a short period of time.


Q16. Clearing and settlement operations of NSE are carried out by:

(i) NSDL
(ii) SBI
(iii) NSCCL
(iv) CDSL

(iii) NSCCL


Q17. Which of the following takes advantage of the internal trading?

(i) All shareholders
(ii) All Debenture holders
(iii) People having secret information of the company
(iv) All the employees

(iii) People having secret information of the company


Q18. Primary and secondary markets:

(i) Compete with each other
(ii) Complement each other
(iii) Function independently
(iv) Control each other

(ii) Complement each other


Q19. After the trade has been executed, the broker issues a Contract Note to the investor within

(i) 52 hours
(ii) 24 hours
(iii) 48 hours
(iv) 12 hours

(ii) 24 hours


Q20. Which of the following is not a protective function of stock exchange?

(i) Prohibition of fraudulent and unfair trade practices.
(ii) Controlling insider trading.
(iii) Regulation of takeover bids by companies.
(iv) Promotion of fair practices and code of conduct in securities market.

(iii) Regulation of takeover bids by companies.


Q21. OTCEI was started on the lines of:

(i) NSE
(ii) NYSE
(iii) NASDAQ
(iv) NASAQ

(iii) NASDAQ


Q22. It is a number assigned to each transaction by the stock exchange and is printed on the contract note.

(i) PAN number
(ii) Unique Order Code
(iii) Contract Note
(iv) None of the above

(ii) Unique Order Code


Q23. Raj Enterprises wishes to invest ₹1,10,000 in treasury bills. What is the maximum number of treasury bills it can buy with this fund?

(i) 6
(ii) 7
(iii) 4
(iv) 2

(iii) 4


Q24. When a trade bill is accepted by a commercial bank, it is known as a

(i) Certificate of deposit
(ii) Commercial Bill
(iii) Call money
(iv) None of the above

(ii) Commercial Bill


Q25. The process of holding shares in electronic form is known as

(i) Demutualisation
(ii) Dematerialisation
(iii) Speculation
(iv) None of the above

(ii) Dematerialisation


Q26. The allocated function is performed by

(i) Financial market
(ii) Capital market
(iii) Money market
(iv) All of the above

(iv) All of the above


MCQs for Class 12 Business Studies Chapter Wise with Answer PDF | Class 12 BSt All chapter MCQs

MCQs for Class 12 Business Studies : NCERT CBSE RBSE and Other State Board Business Studies MCQ Questions for Class 12 with Answers is one of the best ways to prepare for the CBSE Class 12 board exam. Class 12 BSt All chapter MCQs

Chapter 1 Nature and Significance of Management MCQ Questions
Chapter 2 Principles of Management MCQ Questions
Chapter 3 Business Environment MCQ Questions
Chapter 4 Planning MCQ Questions
Chapter 5 Organising MCQ Questions
Chapter 6 Staffing MCQ Questions
Chapter 7 Directing MCQ Questions
Chapter 8 Controlling MCQ Questions
Chapter 9 Financial Management MCQ Questions
Chapter 10 Financial Market MCQ Questions
Chapter 11 Marketing MCQ Questions MCQ Questions
Chapter 12 Consumer Protection MCQ Questions