Derivative Securities Market Quiz with Answers PDF Download – Test 85

MCQ 421: The method of auction of future contract in which the traders sell their future contracts at a specified price, by crying out in louder voices is classified as:

1. traders gathered auction
2. close outcry auction
3. specified auction
4. open outcry auction

MCQ 422: In the US treasury, the inflation indexed bond is classified as:

1. treasury inflation protection securities
2. treasury inflation protection notes
3. treasury inflation commercial papers
4. inflation coupon protection securities

MCQ 423: The gross proceeds of stock is $24000 and the net proceeds are $35000 then the under writers spread is:

1. 15000
2. 13500
3. 16750
4. 11000

MCQ 424: Consider buying the call option, if the price of stock falls then the buyer of call option has:

1. high potential of profit
2. low potential of profit
3. low potential of losses
4. high potential of losses

MCQ 425: The non-competitive bids of securities are submitted through the:

1. federal savings bank
2. state savings banks
3. Federal Reserve banks
4. state reserve banks