Financial Markets MCQs – Practice Test 1 (Chapter 2)

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Financial Markets & Funds MCQs – Practice Test 1 PDF Download

MCQ 1: The equilibrium interest rate decreases and the economic conditions increases then supply curve must shift to:

up and to the left
up and to the right
down and to the left
down and to the right

MCQ 2: The special provisions that can have adverse or beneficial effects and are reflected in interest rates do not include:

tax-ability
covert ability
call ability
inflation premium

MCQ 3: The loan-able funds theory is used to determine:

savings
interest rate
future value
present value

MCQ 4: The loans for education and medical is classified as loans for:

equilibrium goods
non-equilibrium goods
durable goods
non-durable goods

MCQ 5: The interest rate equilibrium is increased and the supply curve of funds shifts to the left or upward is the result of:

increase in future value
decrease in future value
increase in total wealth
decrease in total wealth

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