NISM MERCHANT BANKING - 1

NISM MERCHANT BANKING

 50

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Q 1. Merger occurs when two companies combine together to form a new enterprise altogether, and neither of the previous companies survives independently - State True or False ?......

True

False
 
Q 2. The money market which deals with bonds and deposits is regulated by the _______

Finance Ministry


Reserve Bank 


SEBI


Central Bank of India

 
Q 3. One of the criteria which has to be satisfied by a company which wants to come out with a public issue in the 'Fast Track Issue ' process is that the company has redressed at least _____ of the total shareholder / investor grievances or complaints re

80%

90%

95%

99%
 
Q 4. Merchant Banking operations were first started by ________ in India in the year 1967

Citibank

Standard Chartered Bank

HSBC Bank

Grindlays Bank
 
Q 5. Warrants may be issued along with public issue or rights issue of specified securities provided that the tenure of such warrants shall not exceed 24 months from their date of allotment in the public/rights issue - State True or False ?

True

False
 
Q 6. ________ are the activities performed by a Merchant Banker I - Merger and Acquisition II - Stock Trading III - Printing and Distribution of application forms IV - Issue of debt securities

I & II

I & IV

III & IV

II & III
 
Q 7. An issue shall be opened after at least ______ working days from the date of registering the red herring prospectus with the Registrar of Companies

3

5

7

10
 
Q 8. Government securities are issued by the _______ in India

central government

state government

semi-government authorities

All of the above
 
Q 9. Warrants may be issued along with public issue or rights issue of specified securities provided that the tenure of such warrants shall not exceed _____ months from their date of allotment in the public/rights issue

6

9

12

18
 
Q 10. ________ is an application containing an authorization to block the application money in the bank account, for subscribing to an issue

USVA

APPA

URBA

ASBA
 
Q 11. Derivatives are investment vehicles where people with similar investment objective come together to pool their money - State True or False ?

True

False
 
Q 12. A public issue can be declared to be closed even if ______ of it is subscribed.

75%

80%

90%

99%
 
Q 13. A merchant banker proposes to carry out some major changes in its control but has not informed SEBI about the proposed changes Will such an action affect the certificate of registration of the merchant banker?

Yes, it will certainly affect the registration of the merchant banker

No, there will not be any affect as the merchant banker is not required to inform SEBI about such changes
 
Q 14. As per regulation 6(1) of the SEBI ICDR Regulations, an issuer may make an IPO, if it has net tangible assets of at least _______ , calculated on a restated and consolidated basis, in each of the preceding three full years (of twelve

Rs. 5 crore


Rs. 10 crore


Rs. 7 crore


Rs. 3 crore

 
Q 15. PQR wishes to apply to SEBI to become a merchant banker What is the minimum net worth required for this purpose?

Rs 2 crore

Rs 5 crore

Rs 3 crore

Rs 10 crore

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