IC89 - MANAGEMENT ACCOUNTING-06

Q1.Which funds are invested primarily in equity/equity-linked instruments/ partnership interests of investee companies?
   a) Debt funds
   b) Hedge funds
   c) Equity funds
   d) Private Equity(PE) Funds
 
Q2.All companies carrying on insurance business are required to maintain the solvency margin laid down by the Regulator in the country. Say whether True or False.
   a) True
   b) False
 
Q3.Which is the excess of proceeds of goods sold and services rendered over their cost during a particular period?
   a) Net profit
   b) Gross profit
   c) Profitability ratio
   d) Activity
 
Q4.Which market deals with Shares?
   a) Debt Market
   b) Equity market
   c) Cash market
   d) Future market
 
Q5.Which of the following is an example of financial activities?
   a) Cash payment to employees
   b) Cash receipts from interest received
   c) Cash payments for taxes or refund of taxes
   d) Payment of dividend
 
Q6.Who in proportion to their investment in the mutual funds share the profits or losses and capital appreciation realized by the mutual funds through various schemes?
   a) Policyholder
   b) Unit-holders
   c) Customer
   d) Agent
 
Q7.As per IRDA's Guidelines on Periodic Disclosures, disclosures with regards to lines of business may fall under which of the following broadheads?
  a) Life, Non-life, and Group
   b) Life, Pension and Group
   c) Life, Pension and Health
  d) Life, Health, and Group
 
Q8.How many components are there in the Balance of Payment account?
   a) One
   b) Two
   c) Three
   d) Four
 
Q9.___of a project is the sum of the present values of all the cash flows (both positive and negative) that are expected to rise over the life of the project.
   a) Net Present Value
   b) Cost of Capital
   c) Internal Rate of Return
   d) Modified Internal Rate of Return
 
Q10.In the case of a __ the owner has the right to require the sale to take place on (but not before) the maturity date.
   a) Put option
   b) Call option
   c) European option
   d) American option

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