Financial Management - Study Mode
[#236] Collection of money from investors and spending money in other investment activities is classified as
Correct Answer
(B) hedge funds
Explanation
Solution: Collection of money from investors and spending money in other investment activities is classified as hedge funds. A hedge fund is basically a fancy name for an investment partnership. It's the marriage of a professional fund manager, who can often be known as the general partner, and the investors, sometimes known as the limited partners, who pool their money together into the fund.
[#237] Markets for products such as wheat, rice, cotton, real estate and autos dealing is classified as
Correct Answer
(A) physical asset markets
Explanation
Solution: Markets for products such as wheat, rice, cotton, real estate and autos dealing is classified as physical asset markets. Physical asset markets are for physical products such as wheat, autos, real estate, computers, and machinery.
[#238] Price of stock that companies observe in financial markets is called
Correct Answer
(A) market price
Explanation
Solution: Price of stock that companies observe in financial markets is called market price. The market price for goods and services is the current price it can be bought or sold for.
[#239] A company may raise capital from the primary market through _____________.
Correct Answer
(D) All of the above
Explanation
Solution: A company may raise capital from the primary market through Public issue, Rights issue and Bought out deals.
[#240] Which exchange member is assigned to a specific trading post?
Correct Answer
(C) Specialist
Explanation
Solution: Specialist exchange member is assigned to a specific trading post. A specialist is a person who is a member of a stock exchange, such as the New York Stock Exchange, whose role is to facilitate trading in certain stocks.