Mortgage Backed Securities MCQs with Answers PDF Download – Test 18

The ownership of mortgaged property will be transferred to financial institution if the

1. borrower defaults
2. borrower does not default
3. borrower want less rate
4. borrower want profit

For a particular security transaction, the agreement is 'repo' with the point of view of

1. security seller
2. security buyer
3. security function
4. security function

The debentures that are considered as junior bonds as compared to debentures and mortgage bonds are classified as

1. subordinated debentures
2. ordinate debentures
3. expansion debentures
4. premium debentures

For a foreign exchange of specific currency, the non-hedged position is classified as

1. open position
2. close position
3. currency long position
4. currency short position

The position which came in to existence because of holding assets less than liabilities is considered as

1. net surplus in assets
2. net surplus in liabilities
3. net long in currency
4. net short in currency