bfn203

Category: BFN203

ATTENTION:

Kindly note that you will be presented with 50 questions randomized from the NOUN question bank. Make sure to take the quiz multiple times so you can get familiar with the questions and answers, as new questions are randomized in each attempt.

Good luck!

BFN203

1 / 50

A. Investment is very important because it could be used to -------------------------

1. Stops employment

2. Generate unemployment

3. Generate employment

4. Frustrate employment

2 / 50

B. A derivatives refers to a financial product which has its value dependent on the outcome of the original _________

3 / 50

Which of the following is not a step in personal financial planning process?

1. Quick sort

2. Portability

3. Examination

4. Assessment

4 / 50

D. Motor vehicle insurance protects the policyholder against financial loss in the event of an-------------------------------

1. Lock down

2. Accident

3. Loss

4. Flood

5 / 50

E. The two sections that make up the Financial market are ____________

1. Capital market and Stock budget

2. Money market and Stock market

3. Capital market and Stock market

4. Capital market and Commodity market

6 / 50

F. ………… derivatives are contracts that are transacted and privately sold directly between two parties, without going through any stock exchange.

7 / 50

G. Futures are derivatives in which the contracts to buy or sell a specific asset on a future date at a price …………….

8 / 50

H. The rise in the prevailing price (market value) of a property over a period of time, being realized as a cash inflow whenever the property is sold is called ……………..

9 / 50

I. ……………… involves contracts that subsist between two parties, which incorporate specific terms like Dates and Maturing values.

10 / 50

J. Financial products, like Stock, Bonds, Treasury bills, and Treasuring certificate floated by Government is known as --------------------------

1. Founders’ insecurities

2. Founders’ strategy

3. Founders’ securities

4. Negotiation

11 / 50

K. The ------------------account attracts commission on turnover (COT).

1. Budget

2. Sales

3. Current

4. Savings

12 / 50

L. Diversification is a technique that reduces ………….. by allocating investments among various financial instruments.

13 / 50

M. Preference shares attract fixed rate of ………………..

14 / 50

N. The main advantage of the hedge is that it lowers the risk of an ………….

15 / 50

O. …………… refers to the owners’ contribution to the capital funding of the business

16 / 50

P. Mortgages are long term loans that are secured by---------------------------

1. Capital Assets

2. Financial Statement

3. Financial Assets

4. Financial Interest

17 / 50

Q. The money market is a market for __________

1. Short Term Debt Instrument

2. Long Term Debt Instrument

3. Long Debit Installment

4. Mid Term Instrument

18 / 50

R. Specific kinds of risk that may give rise to claims are known as---------------------

1. Quasi

2. Standard Cost

3. Premium

4. Shareholders

19 / 50

S. According to economists, Investment is regarded as savings embarked upon as a result of __________

20 / 50

T. The fundamental purpose of investment is to generate ___________

21 / 50

U. Capital gains are generated from an appreciation on the value of-------------------

1. Required Asset

2. Financial Installment

3. Purchased Assets

4. Purpose statement

22 / 50

V. …………….. refers to the amount of funds in the structure of the capital that is borrowed from outside sources of financing.

23 / 50

W. The maturity period for Treasury bills is--------------------

1. 50 days

2. 40 days

3. 30 days

4. 60 days

24 / 50

X. Real estate investment can be …………… because of magnitude of fund requirement.

25 / 50

Y. Which of the following is not a reason for building personal cash flow?

1. Transaction motive

2. Alert confirmation

3. Transaction alert

4. Debit Statement

26 / 50

Z. The practice where depreciation, tax liability and carryover losses are charged against income from other sources for a period of about three decades is called _________

27 / 50

AA. In finance, an investment involves utilization of funds in acquisition of financial assets such as financial securities and ________

28 / 50

AB. Marketable securities refer to money market financial instruments that are easily convertible to ----------------------

1. Gain instrument

2. Debt instrument

3. Object Code

4. Sales promotion

29 / 50

AC. Which of the following accounts attracts interest payment to the account holder?

1. Static account

2. Sales account

3. Savings account

4. Current account

30 / 50

AD. ………………… Refers to the increase in the investor’s equity ratio as the portion of debt service payments devoted to principal accrue over time.

31 / 50

AE. …………. Is the practice of taking advantage of a price difference between two or more financial markets

32 / 50

AF. Risk which is insurable has how many characteristics?

1. Five

2. Three

3. Four

4. Two

33 / 50

AG. _________ is the process of converting a new idea or technology into a business undertaking.

34 / 50

AH. Diversification means that an investor should invest in ------------------------------

1. Multiple asset

2. Derived asset

3. Single asset

4. Double asset

35 / 50

AI. Which of the following instrument is not traded in the Capital market?

1. Capital Shares

2. Common Shares

3. Ordinary Shares

4. Jointed Shares

36 / 50

AJ. In property investment, a large portion of purchase price is through debt instrument such as: __________

1. Limited Capital

2. Micro Credit

3. Unlimited Credit

4. Macro Credit

37 / 50

AK. Which of the followings is a money market instrument?

1. Debentures

2. Capital Allowance

3. Interest

4. Shares

38 / 50

AL. Financial products of high net worth companies are regarded as --------------------

1. Green chip securities

2. Red chip securities

3. Yellow chip securities

4. Blue chip securities

39 / 50

AM. ________ refers to a form of investment that has some relative limited liquidity when compared to other forms of investment

40 / 50

AN. One factor that can make real estate investment to result in failure is the absence of ……………..

41 / 50

AO. Contingency fund could be classified into ------------------------------

1. Short-term and Medium-term

2. Long-term and Medium-term

3. Long-term and Short-term

4. Long-term and Limited-term

42 / 50

AP. How much allowance is provided per child in the Personal Income Tax Act (PITA)?

1. N 1,600.00

2. N 1,500.00

3. N 1,050.00

4. N 1,650.00

43 / 50

AQ. Usually, higher level-of-return investments are associated with higher ___________

44 / 50

AR. …………… is an investment which is undertaking in order to reduce the risk of adverse price movement in financial asset.

45 / 50

AS. A property in the possession of a buyer can become a foreclosure if he or she fails to make a mortgage payment for at least ………………..

46 / 50

AT. Savings accounts holders are restricted in withdrawing their money by leaving ________

1. Maximum balance

2. Minimum balance

3. Limited Balance

4. Account Balance

47 / 50

AU. According to Bhave (1994), one of the following is not a stage in the process of venture creation.

1. Opportunity Recognition technique

2. Opportunity Recognition stage

3. Opportunity Recognition strategy

4. Opportunity Demand stage

48 / 50

AV. Workers’ compensation insurance replaces all or part of a worker’s wages lost and accompanying medical expenses incurred because of _________

1. Market-related progress

2. Market-related backwardness

3. Market-related set up

4. Market-related sickness

49 / 50

AW. Personal Financial planning process involves -------------------------------steps

1. Two steps

2. Four steps

3. Three steps

4. One step

50 / 50

AX. Personalize contract between two parties in which payment takes place at specific date in the future at today’s pre-determined price is known as …………..

Rate this quiz