MCQ Questions on Investment

MCQ Questions on Investment: Below, You will find a list of Commerce MCQ Questions as per the latest prescribed syllabus. Ace up your preparation with the Objective Questions available on Investment and enhance your subject knowledge. Understand the concept clearly by consistently practicing the Multiple Choice Questions and score well in your exams.

MCQ Questions on Investment

1. If there is an increase in interest rates than the fixed interest rate of the corporate bond will
(a) Return to the corporation
(b) Decrease in value
(c) Remain unchanged
(d) Increase in value

Answer

Answer: (b)


2. Which one of the following is shown first when the assets are arranged in the order of their liquidity?
(a) Investment
(b) Cash in hand
(c) Debtors
(d) None of the above

Answer

Answer: (b)


3. An investor invests in assets known as a
(a) Securities
(b) Block of Assets
(c) Portfolio
(d) None of the above

Answer

Answer: (c)


4. Over the period, investors determine the compound growth rate of an investment by
(a) Arithmetic median
(b) Arithmetic mean
(c) Calculus mean
(d) Geometric mean

Answer

Answer: (d)


5. Investors agree to invest in high- risk investments if only
(a) There are any true speculations
(b) The predicted return is satisfactory for taking a risk
(c) There are no safe options except for holding cash
(d) The return is short

Answer

Answer: (b)


6. In Capital Market Line every investment is
(a) Finitely divisible
(b) Infinitely divisible
(c) Both a & b
(d) None of the above

Answer

Answer: (b)


7. Investments would score high only if there is a protection to
(a) Real estate
(b) Preferred stock
(c) Government bonds
(d) Common stock

Answer

Answer: (c)


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