Question : Which of the following statement is incorrect?
Option 1: Money market require huge financial investment
Option 2: The expected return of money market is less due to short duration
Option 3: Money market deals in medium and long term securities
Option 4: None of the above
Correct Answer: Money market deals in medium and long term securities
Solution : Money market deals in short term securities having maximum tenure of one year and may even be issued for a single day. Money market instruments are generally saved due to shorter duration of investment.
Hence, option C is correct.
Question : Which feature of capital market is highlighted in the given statement? Statement: It is the nature the capital market to satisfy the long term financial needs of the government industrial sector.
Option 1: Long term securities
Option 2: Long term financing requirement
Option 3: Creating liquidity
Question : Statement 1: Capital market deals with short-term financial instruments.
Statement 2: Capital market deals with long-term financial instruments.
Option 1: Statement 1 is true, and statement 2 is true.
Option 2: Statement 1 is true, but statement 2 is false.
Option 3: Statement 1 is false, and statement 2 is true.
Option 4: Statement 1 is false, and statement 2 is false.
Question : Which feature of capital market is highlighted in the given statement? Statement:In the market transactions are made in the long term securities.
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