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NISM V-A sample 500 questions NISM V-A sample 500 questions Document Transcript

  • Practice Questions for AMFI Test1. A close-ended mutual fund has a fixed : c. on a stock exchange where the fund is a. NAV listed b. fund size d. to the agent through which he/she c. rate of return subscribed to the units of the fund d. number of distributors 9. The "load" charged to an investor in a mutual fund2. The maximum load that a fund can charge is isdetermined by the : a. entry fee a. AMC b. cost of the paper on which the unit b. SEBI certificates are printed c. AMFI c. the fee the agent charges to the investor d. distribution agents based on demand for the d. the expenses incurred by fund managers fund for marketing a mutual fund scheme3. The amount required to buy 100 units of a scheme 10. A mutual fund is owned byhaving an entry load of 1.5% and NAV of Rs.20 is : a. the Govt. of India a. Rs.2000 b. SEBI b. Rs.2015 c. all its investors c. Rs.1985 d. AMFI d. Rs.2030 11. Units from an open-ended mutual fund are bought4. A gilt fund is a special type of fund that invests : a. on a stock exchange a. in very high quality equity only b. from the fund itself b. in instruments issued by companies with a c. from AMFI sound track record d. from a stock broker c. in short-term securities d. in government securities only 12. A mutual fund is not a. owned jointly by all investors5. Of the following fund types, the highest risk is b. a company that manages investmentassociated with portfolios of high networth individuals a. Balanced Funds c. a pool of funds used to purchase securities b. Gilt Funds on behalf of investors c. Equity Growth Funds d. a collective investment vehicle d. Debt Funds 13. "Load" cannot be recovered6. The NAV of a mutual fund: a. at the time of the investors entry into the a. is always constant fund b. keeps going up at a steady rate b. as a fixed amount each year c. fluctuates with market price movements c. at the time the investor exits the fund d. cannot go down at all d. from the funds distribution agent7. An open-ended mutual fund is one that has: 14. The most important advantage of a money market a. an option to invest in any kind of security mutual fund is b. units available for sale and repurchase at a. quick capital appreciation all times b. high regular income c. an upper limit on its NAV c. safety of principal d. a fixed fund size d. no loads8. An investor in a close-ended mutual fund can get 15. Some close-ended funds are quoted at a discounthis/her money back by selling his/her units: to their NAV because a. back to the fund a. of high expense ratios b. to a special trust at NAV b. investors do not expect the current NAV to be sustained in future
  • c. the repurchase price fixed by the fund in b. gilt funds lower than the NAV c. growth funds d. of the inherent risk involved in investing in d. balanced funds such type of funds 24. A Systematic Withdrawal Plan, allows investors16. The NAV of each scheme should be updated on to get back the principal amounts invested in additionAMFIs website to the income on investment a. every quarter a. True b. every month b. False c. every hour d. every day 25. Which of the following is untrue of an automatic reinvestment plan?17. Debt funds target a. The plan allows for automatic reinvestment a. low risk and stable income of all income and capital gains b. protection of principal b. Automatic reinvestment allows for c. high growth with risk accumulation of additional units of the fund d. long term capital appreciation c. The major benefit of automatic reinvestment is compounding18. In which of the following do debt funds not invest d. The benefit of automatic reinvestment is a. government debt instruments often lost on account of the heavy load b. corporate paper charge on the reinvestment c. financial institutions bonds d. equity of private companies 26. Constraints imposed by most funds on check writing are:19. Which of the following risks do not affect a debt a. Account balance should not fall below thefund minimum capital required a. default by issuer on payment of interest or b. Checks issued must be for at least the principal minimum amount specified. b. price fluctuations of the debt securities c. Number of checks per month must not c. share price movements exceed a specified number d. interest volatility d. Both a & b above20. Assured return or guaranteed monthly income 27. The performance of a fund is largely measured byplans are essentially the success of a. Hybrid funds a. the marketing function b. Growth Funds b. the operations function c. Debt/Income funds c. the portfolio market function d. Sector funds d. none of the above21. A Fixed Term Plan Series is 28. Generally invest in a. an open-ended fund a. unlisted b. a close-ended fund b. market-traded c. a fixed term bank deposit c. thinly traded d. a fixed term corporate bond d. privately placed22. NAVs of equity funds are not affected by 29. Which of the following is not an equity a. Stock market movements instrument b. Events affecting the industry/sector in which a. preference shares the fund has invested b. equity warrants c. Happenings in the companies in which the c. ordinary debentures fund has invested d. convertible debentures d. real estate prices 30. The drawback of an ordinary share is23. The greatest potential for growth in capital is A. possibility of capital appreciationoffered by B. ownership privilege of the company a. debt funds C. guaranteed dividend income
  • D. no guaranteed income or security 38. Dividend yield for a stock is31. An owner of preference shares is given which of a. dividend per sharethe following rights b. dividend per face value a. voting rights c. dividend per share to current market b. fixed dividend income from post-tax price profits d. none of the above c. voting rights and unlimited dividend income d. no guaranteed rights 39. Value stocks a. have high current dividend yield32. Market capitalisation of a company is calculated b. yield high growth in earningsby multiplying the number of outstanding shares by c. are currently under valued a. R.10 d. none of the above b. Face value of each share c. Current market value of each share 40. A better performance than the return on index is d. dividend yield given by a. passive fund manager33. The Price/Earnings (P/E) Ratio is an important b. an active fund managermeasure of a companys anticipated performance. It is c. all fund managerscalculated using: d. non fund manager a. Market price and dividend b. Market price and earning per share 41. A change in key personnel especially the fund c. Market capitalisation and dividend manager of an AMC does not necessitate a revision d. Market price and face value of the offer document a. True34. A company whose earnings are strongly related to b. Falsethe state of economy is known as a. Economy stocks 42. If fresh litigation cases or adjudication b. Cyclical Stocks proceedings are referred by SEBI against the fund c. Value Stocks sponsors or a company associated with the sponsors, d. Growth stocks then the offer document needs to be revised a. True35. A Growth stock refers to shares of a company b. Falsewhose earnings are projected to grow at the normalmarket rates 43. The offer document need not be revised if the a. True management or the controlling interest in the AMC b. False change a. True36. Which of the following is generally true for a b. Falsegrowth stock? a. steady capita appreciation and steady 44. An AMC cannot explain adverse variations dividends yields between expense estimates for the scheme on offer b. high capital appreciation and high dividend and actual expenses for past schemes in yields a. financial newspapers c. high capital appreciation but low b. business channels on TV dividend yields c. the offer document d. steady capital appreciation but high dividend d. AMFI newsletter yields 45. Information on estimated expenses to be incurred37. Shares of companies with large capital market by a scheme is not found in the offer document, butcapitalisation in brochures of the fund a. have greater growth potential a. True b. are more liquid b. False c. are not available d. none of the above 46. When comparing a funds performance with that of its peer group, the following cannot be compared
  • a. Two debt funds with 5 year maturities h. change with change in the AMCs key b. A broad-based equity fund with an IT personnel Sector Fund c. A bond fund with a bond 54. The investment policies listed out in the offer d. A government securities fund with a document of a fund do not include government security e. the type of securities in which the scheme will invest principally47. An AMC must explain adverse variation between f. asset allocation patternexpense estimates for the scheme on offer and actual g. policy of diversification a. expenses for past schemes in h. the specific securities in which the fund b. financial newspapers will invest c. business channels on TV d. offer document 55. If a schemes name implies that it will invest e. AMFI Newsletter primarily in a particular type of security or in certain48. Information on estimated expenses to be incurred industry/sector, then it should invest at least theby a scheme is not found in the offer document, but following percentage of its total assets in thein brochures of the fund indicated type of security/industry/sector a. True e. 100% b. False f. 80%49. The offer document and key information g. 65%memorandum contain financial information for h. 40% a. all schemes of all mutual funds in the capital market 56. For assured return schemes, information about the b. all schemes launched by the particular guarantors net worth which justifies the guarantors fund during the last 3 fiscal years ability to meet any shortfalls in the returns assured c. none of the schemes under the scheme can be found in d. companies in which investment is proposed e. the offer document50. The functions and responsibilities of the sponsor, f. the key information memorandumAMC, trustees and custodian of the mutual fund are g. both (a) and (b)listed in h. none of the above a. offer document only b. key information memorandum 57. The names and background of key personnel of c. both offer document and key information the AMC memorandum e. need not be disclosed to investors d. none of the above f. are of no relevance as they may change 51. Information about trusteeship fees is included in g. are disclosed in the offer document the offer document but not in the key information h. are declared in newspaper advertisements memorandum e. True 58. The minimum amount to be raised, and the f. False maximum target amount e. are not known before the offer is concluded52. The following information about the constitution f. can be decided based on investor response toof the mutual fund is found in both the offer the offerdocument and key information memorandum g. are defined as per SEBI Regulations e. activities of the sponsor before the offer is made f. summary of trust deed provisions h. need not be disclosed in the offer document g. name and addresses of the board of trustees h. all of the above 59. The circumstances for refund of investment in the initial offer and period within which refund must be53. The investment objectives of the fund an investor carried out are not specified in the offer document,selects for investment but only on the application e. are of no relevance e. True f. should be the same as his own investment f. False objectives g. change with market movements 60. Offer related information required to be listed in
  • the offer document and key information g. 25%memorandum includes h. 10% e. dates of opening, closing, earliest closing, allotment and despatch of certificates 67. Mutual funds are allowed to borrow f. procedure for transfer and transmission of e. freely to meet their requirements units f. for investment purposes g. both the above g. only to meet redemption demands h. neither of the above h. not allowed at all61. In the offer document, funds are required to make 68. As a part of borrowing policy, the following needdisclosures summarizing associate transactions and not be disclosed in an offer documenttheir impact on the performance of the scheme for the e. purpose and circumstances of borrowinglast f. regulatory limits on borrowing e. one fiscal year g. potential risk to AMC and unit-holders f. 2 fiscal years h. names of lenders g. 3 fiscal years h. 5 fiscal years 69. Valuation norms for non-traded securities should be disclosed62. The circumstances under which a scheme shall be e. at the end of every financial yearwound up are to be described in the offer document f. every quarterat the time of the initial launch of the scheme itself g. in the offer document at the time of e. True launch of the scheme f. False h. should not be disclosed, being confidential information63. The following do not form a part of theinvestment procedure described in an offer document 70. Procedure for redemption or repurchase need not e. various plans under the scheme (e.g. e. be described in the offer document dividend reinvestment plant) f. include how redemption or repurchase price f. minimum initial (and subsequent) of units would be determined investment g. include names of centres where redemption g. details of who can invest can be effected h. details of other competing mutual funds h. indicate the redemption or repurchase price as at the end of the current fiscal64. A schemes policy on dividends and distribution year e. is decided by the fund manager as per is market outlook 71. The fund need not describe its accounting policies f. can be changed to suit the requirements of in the offer document as these are of no use to an the AMC investor g. need not be consistent e. True h. should be disclosed at the time of initial f. False launch 72. The accounting policies of a fund should be in65. SEBI restricts mutual fund investments in accordance withcompanies forming part of the same group as the e. GAAPAMC. This is: f. SEBI regulations e. not true g. ICAI Guidelines f. in the interest of investor protection h. American GAAP g. applied only to some mutual funds, not all h. not favourable to investors at all 73. Tax treatment of investments does not e. form a section in the offer document66. A disclosure should be made in the offer f. describe the tax elements applicable todocument if an AMC has invested more than the investors who invest in the fundfollowing percentage of its net assets in group g. form a section in the key informationcompanies memorandum e. 50% h. offer tax advice to investors f. 40%
  • g. if Ministry of Finance approves74. Documents available to investors for inspection h. if AMFI approvesdo not include c. Memorandum and Articles of Association of 83. Who among the following are not Institutional AMC Investors d. consent of auditors and legal advisors e. Banks e. investment management reports f. Resident Individuals f. reports based on which actual g. Provident Funds investments are made h. Non Banking Finance Companies75. Investors rights under a scheme are 84. It is compulsory to use fund agents/intermediaries e. uniform for all schemes of all funds for investing MFs f. not defined e. True g. listed in the offer document f. False h. available with stock exchanges 85. Generally, which category of investors need76. The offer document for a scheme should describe advice for Investing in Mutual Fundshow the NAV of the scheme is to be computed c. Non Banking Finance Companies e. True d. Insurance Companies f. False e. Foreign Institutional Investors f. Individuals77. An offer document contains an AMCs investorgrievances history for the past 86. Most eligible investors of Mutual Funds can e. one fiscal year broadly be grouped into either individual or f. 2 fiscal years institutional investors g. 3 fiscal years e. True h. six months f. False78. Any pending cases or penalties levied on the 87. Commission rates or loads applicable to bigsponsors or AMC should be disclosed in the offer investors and small investors aredocument e. same e. True f. different f. False g. not charges to either h. none of the above79. Who among the following are not eligible toinvest in MF 88. What document Mutual Fund distributors need to e. Indian Companies refer for finding out eligible category of investors in a f. Banks particular Mutual Fund Scheme g. Non Banking Finance Companies e. SEBI Regulations Manual h. Foreign Citizens f. AMFI booklet g. Offer document80. NRIs are eligible to invest in Mutual Funds h. RBI Guidelines a. True b. False 89. As per AMFI figures, how many agents approximately, are there in India selling Mutual81. The most important link between Mutual Fund Fundsand Investors is e. 50000 e. Government f. 100000 f. SEBI g. 75000 g. Fund distributors h. 150000 h. AMFI 90. Which Mutual Fund has majority of the agents82. Are Overseas Corporate Bodies allowed to invest selling its Mutual Fund units in Indiain Mutual Funds e. LIC Mutual Fund e. No f. UTI Mutual Fund f. Yes g. SBI Mutual Fund
  • h. None of the above 99. The front page of an offer document need not91. Mutual Fund agents/distributors are not allowed coverto sell Financial Products other than Mutual Funds e. opening, closing and earliest closing date of c. True the offer d. False f. disclaimer clause g. legal and regulator compliance92. Are Mutual Fund agents/distributors in India h. price of unitsrequired to pass any examination to qualify to sellMutual Fund Units 100. A "glossary" of Defined Terms must be included c. Yes, a test conducted by AMFI in the offer document d. Yes, a test conducted by SEBI e. True e. No f. False f. a Post Graduate university course93. How many major distributor Companies are there 101. Standard risk factors are notin India selling Mutual Fund units g. market driven c. approximately 9 h. common to all schemes d. approximately 11 i. of relevance to novice investors e. approximately 10 j. new to a regular investor f. approximately 25 102. The risk of a schemes NAV moving up or down94. The offer document is not a legal document on the basis of capital market movements is a e. True standard risk factor f. False i. True j. False95. A copy of all changes in the offer document hasto be filed with SEBI 103. Past performance of a sponsor/AMC mutual c. True fund is not indicative of the future performance of the d. False scheme. This is i. not true96. The legal responsibility for the accuracy of the j. a standard risk factor for all schemesstatements made in the offer document lies with k. a scheme-specific risk factor e. SEBI l. applicable only to gilt funds f. the AMC g. AMFI 104. Risk arising from a schemes investment h. the Company Law Board objective/strategy and proposed asset allocation is i. not present97. Though the offer document of a scheme is j. common to all schemesprepared as per SEBI Regulations and is filed with k. specific to that schemeSEBI, SEBI does not certify the accuracy or l. not applicable to debt fundsadequacy of the document f. True 105. In an assured returns scheme, if assurance is g. False only for a limited period, it must be stated in the offer document that there is no guarantee for sustaining the98. The following need not be covered in a Key assured return for the remaining duration of theInformation Memorandum scheme c. Risk Factors i. True d. Opening, Closing and earliest Closing Date j. False of the offer e. Disclaimer Clause 106. If the AMC is managing a fund for the first time, f. Functions and responsibilities of the this information can be found in sponsor, trustees, AMC and Custodian i. newspapers responsibilities j. SEBI k. AMFI Newsletter l. Offer document
  • i. desirable marketing practices107. A compliance officer j. agents responsibilities to the investor i. stands guarantee to the information k. ethical code of conduct contained in the offer document l. all of the above j. belongs to SEBI k. cannot certify that the AMCs legal and 115. The following are not termed as "sales procedural obligations are fulfilled practices" l. cannot be appointed by the AMC i. agents commission j. before-and after-sales service to investors108. The due diligence certificate that must be k. advertising of schemessubmitted to SEBI along with the draft offer l. stock brokingdocument cannot be signed by i. the managing director of the AMC 116. Sales practices are never mandated by j. an executive director of the AMC regulators, but arise from convention only k. the compliance officer i. True l. Investor relations officer j. False109. A due diligence certificate does not certify that 117. Agents are compensated by mutual funds g. the draft offer document forwarded to SEBI i. through salaries is in accordance with SEBI regulations j. through commissions h. all legal requirements connected with k. through an annual fee launching of the scheme have been complied l. not in cash but in kind with i. disclosures made in the offer document are 118. In India the minimum or maximum true, fair and adequate commissions payable to distributors are not j. the AMC guarantees a good performance prescribed by law, but are decided using the funds own discretion110. In developed countries, an important Mutual i. TrueFund marketing channel is through j. False i. Insurance Companies j. Banks 119. Lowest commissions are paid on k. Non-Banking Finance Companies i. Equity funds l. Retail Distributors j. tax benefit schemes of mutual funds k. debt funds111. Emerging or new channel for l. long-term investments in mutual fundsdistributors/marketing of Mutual Fund in India is i. Insurance Companies 120. Excess distribution expenses are to be borne by j. Banks the k. Qualified Mutual Fund agents i. AMC l. Direct Sales agents of respective mutual j. unit holders funds k. SEBI l. AMFI112. Mutual Funds often use their own employees tomobilise funds from 121. To cover fund distribution expenses, open ended g. retail investors funds h. High Networth individuals/institutional g. charge a fee from agents investors h. charge entry and exit loads from investors i. all investors i. create a reserve j. foreign investors j. sell investments113. Retail distribution channels are a critical 122. Trail commission means payingelement in the distribution of mutual funds in India i. no commission at all i. True j. the entire commission up-front j. False k. part of the commission up-front and the balance in phases114. "Sales Practices" cover the following areas l. the entire commission after five years
  • i. any price he chooses123. Sub-brokers serve as agents of the principal j. a price determined by competition amongbroker and a mutual fund is not answerable for their agentsactivities k. a price based on demand for that funds units i. True l. the public offering price currently in j. False effect124. In India, Mutual fund agents rate and services 132. All buy orders through an agent do not becomeare at present defined by valid till the fund accepts and confirms the orders g. SEBI rules i. True h. stock exchange bye-laws j. False i. AMFI rules j. convention 133. When an agent purchases, offers or sells units, ensuring compliance with applicable regulations is125. Along with the application, it is mandatory to the responsibility ofdistribute i. the fund i. investment rebate j. the agent j. offer document k. AMFI k. key information memorandum l. SEBI l. none of the above 134. The terms of appointment of a broker by a fund126. To sell funds effectively, an agent need not are g. be fully aware of the important g. laid down by SEBI characteristics of the scheme h. laid down by AMFI h. know his/her clients risk profile i. not uniform to all funds i. give after sales service j. none of the above j. offer large investment rebates 135. The code of ethics for mutual funds published127. For investors to correctly compare performance by AMFIof different funds SEBIs advertising codes include g. is mandatory i. uniform computation of yields h. is in the form of recommended practices j. uniform presentations of dividends i. is unfavourable to investors k. identical time periods j. does not cover distribution and selling l. all of the above practices128. SEBIs advertising code mandate that all 136. The AMFI code of ethics does not cover theperformance calculations in a funds advertisement following prescriptionsshould be based g. Adequate disclosures should be made to the g. NAV investors h. the NSE Fifty Index h. Funds should be managed in accordance i. the BSE Sensex with stated investment objectives j. none of the above i. conflict of interest should be avoided in dealings with directors or employees129. An agents appointment by a fund j. each investment decision should be i. requires SEBIs approval approved by investors j. is a lengthy and cumbersome process k. is mandatorily preceded by an AMFI test 137. Distribution and sales practices are only partly l. does not require any approval regulated by SEBI at present i. True130. An investor does not have recourse to his agent j. Falsein case of errors, problems or the quality of theinvestment 138. Which of the following distribution channels is c. True preferred by private mutual funds d. False i. Individual Agents j. Small Distribution companies131. An agent can offer and sell a fundss units at k. established distribution companies
  • l. the Internet 147. If a fund calculates NAV daily, it will include139. Which of the following sales practices is all the transaction concluded up toprescribed by regulation h. last week i. AMFI Code of Ethics i. last two days j. SEBI Advertising j. previous day k. AMFIs Code for Agents k. today l. None of the above 148. For a open-ended fund,the repurchase price140. In a mutual fund investors subscriptions are should not be lower thanaccounted for as g. NAV i. liabilities h. 95% of NAV j. deposits i. 93% of NAV k. unit capital j. 97% of NAV l. none of the above 149. For a close-ended fund, the repurchase price141. Investments made by a mutual fund on behalf of should not be lower thaninvestors are accounted as i. NAV e. assets j. 95% of NAV f. liabilities k. 93% of NAV g. capital l. 97% of NAV h. none of the above 150. For a scheme that has a load, the AMC can142. Liabilities in the balance sheet of a mutual fund change an investment management fee not exceedingare g. 1.50% g. in the form of long-term loans h. 2.00% h. strictly short term in nature i. 1.25% i. combination of long term and short term j. 0.50% j. not allowed as per regulations 151. Initial expenses of launching schemes should not exceed143. Net Asset Value (NAV) of a mutual fund k. 15% of amount receivedscheme is defined as the schemes l. 10% of amount raised g. assets minus liabilities m. 6% of amount raised h. assets per unit n. 5% of the amount raised i. assets minus liabilities per unit j. none of the above 152. Which of the following expenses cannot be charged to the scheme144. The day on which NAV is calculated by a fund k. Audit feesis known as l. costs related to investor communication g. computation date m. winding costs for terminating the scheme h. valuation date n. penalties and fines for infraction of laws i. record date j. book closure date 153. Which of the following are not true for Equity Linked Savings Schemes?145. A funds NAV is affected by m. Investors can claim an income tax rebate e. Purchase and sale of investment securities n. There is a lock-in period before investment f. valuation of all investment securities held can be withdrawn g. units sold or redeemed o. There are not specific restrictions on h. all of the above investment objectives for the fund managers p. These funds cannot invest in equity146. When computing NAV of fund SEBI requiresaccrual of major expenses to be accounted 154. Which of the following is not true for Index i. quarterly Funds j. annually m. These funds invests in the shares that k. on a day to day basis constitute a specific index l. when actually paid
  • n. The investment in shares is in the same n. cannot appoint sub-agents or sub-brokers proportion as in the index o. should be only individuals not companies or o. These funds take only the overall market banks risk p. should not be an employee or associate of p. These funds are not diversified the AMC155. The structure which is required to be followed 162. A transfer in the management of a close-endedby mutual funds in India is laid down by scheme does not require the consent of k. Financial Ministry k. unit holders with 75% voting rights l. Securities & Exchange Board of India l. SEBI (SEBI) m. Trustees m. Fund Sponsor n. AMC n. Association of Mutual Funds of India (AMFI) 163. The fund sponsor has to contribute k. nothing to the AMC156. The Board of Trustees of a mutual fund: l. the total networth of the AMC m. act as a protector of investors interests m. atleast 40% of the AMCs networth n. directly manage the portfolio of securities n. exactly 50% o. do not have the right to dismiss the AMC p. cannot supervise and direct the working of 164. The sponsor of a mutual fund may be compared the AMC to m. a director in a Company157. The AMC of a mutual fund cannot n. the Chief Executive of a Company m. undertake advisory services or financial o. Promoter of a Company consulting p. an equity shareholder in a Company n. cannot invest the funds in government paper o. act as a trustee of more than one mutual 165. Issuing and redeeming units of a mutual fund is fund the role p. cannot invest the funds in securities m. the custodian n. the transfer agent158. The trust that manages a mutual fund is o. the trusteesappointed by p. the bankers m. The Finance Ministry n. R.B.I 166. The fund sponsors should have a sound financial o. SEBI track record of p. The sponsor of that mutual fund k. 7 years l. 12 months159. The custodian of a mutual fund: m. 5 years k. is appointed for safekeeping of securities n. 3 years l. need not be an entity independent of the sponsors 167. The networth of an asset management company m. not required to be registered with SEBI should be greater than n. does not give or receive deliveries of m. Rs.100 Crores physical securities n. can be decided by the Sponsor o. should be atleast Rs. 10 Crores at all160. Transfer Agents of a mutual fund are not timesresponsible for p. should be greater than Rs.10 Crores m. issuing and redeeming units of the mutual fund 168. The AMC and directors are answerable to n. updating investor records k. Stock Exchanges o. preparing transfer documents l. The Board of Trustees p. investing the funds in securities markets m. Agents and distributors n. Stock Brokers161. Distributors or agents m. can distribute several mutual funds 169. The role of an AMC is to act as simultaneously 1. promoters
  • 2. investment managers o. guidelines issued by the Ministry of 3. distribution agents Commerce 4. regulators p. Companies Act provisions relating to transactions in securities170. A change in the following key people does notmaterially impact the performance of the fund 178. The entry of mutual funds in India was initiated m. Fund sponsors by mutual funds set up by n. Trustees of the fund k. Public Sector Banks o. Fund Manager l. Private Sector mutual funds p. Members of the AMFI Committee m. Unit Trust of India n. mutual funds set up by insurance companies171. To transfer the management of a scheme fromone AMC to another, the consent of the following is 179. For a close-ended scheme to change itsrequired fundamental attributes, it must obtain the consent of k. SEBI m. 50% of unit holders l. Unit holders n. 50% of trustees m. both SEBI and unit holders o. 75% of unit holders n. none of the above p. none of the above172. As per SEBIs principles, the AMC and the 180. The largest corpus of investable funds in India isBoard of Trustees of a fund should belong to the withsame sponsors e. Bank-owned mutual funds m. True f. Private Sector mutual funds n. False g. UTI h. Insurance Companies173. After UTI, the first mutual funds were started by k. private sector banks 181. The Board of Trustees of the UTI does not have l. public sector banks nominees from m. financial institutions m. RBI n. non-banking finance companies n. LIC o. IDBI174. The highest authority among the following is the p. The Bombay Stock Exchange (BSE) k. SEBI l. Company Law Board 182. UTI Cannot provide m. RBI k. corporate finance n. Ministry of Finance l. engage in real estate and property development business175. The entity that SEBI does not regulate is m. provide merchant banking services m. share registrars n. invest in securities n. mutual funds o. stock exchanges 183. The "Capital" of a scheme does not include p. non-banking finance companies m. unit capital n. reserves176. The accounts and all other records of an AMC o. borrowingare filed with p. networth of the AMC k. AMFI l. Registrar of Companies 184. Which of the following are Self Regulatory m. Agents Association Organisations n. UTI k. Bombay Stock Exchange l. SEBI177. A close-ended scheme of a mutual fund is not m. AMFIgoverned by n. RBI m. Exchange Rules of the stock exchange where it is listed 185. A Self Regulatory Organisation can regulate n. Listing Agreement between the fund and the k. all entities in the market stock exchange l. only its own members in a limited way
  • m. its own members with total jurisdiction l. only if the offer document specifically n. no entity at all provided such a guarantee by a named sponsor186. The amount of authority enjoyed by a m. the Government of India 1. self-regulatory organisation is defined by n. AMFI 2. the apex regulatory authority 3. company law board 193. Unit-holders aggrieved by a Fund or AMC can 4. its own members get redressed from 5. RBI k. Consumer Courts l. SEBI187. The role of AMFI in the mutual funds industry m. AMFIis not to n. RBI k. promote the interests of the unit holders l. set a Code of Ethics 194. If the Directors of an AMC commit fraud, Unit- m. regulate mutual funds in holders investments cannot be protected by the n. crease public awareness of mutual funds in Department of Company Affairs and the Company the country Law Board k. True188. The rights of investors in a mutual fund scheme l. Falseare laid down in m. the Offer Document of that scheme 195. The responsibilities of a unit-holder do not n. Quarterly Reports include: o. Annual Reports i. Monitor his investments carefully p. marketing brochures j. being aware of information that affects his investment in a major way189. Unit holders of a mutual fund scheme do not k. carefully studying the offer documenthave a right to l. taking decisions about where the fund m. proportionate ownership of the schemes managers should invest assets n. dividend declared for that scheme 196. UTIs scheme US-64 falls under the purview of o. dividend declared for other schemes of the SEBI mutual funds m. True p. income declared under that scheme n. False190. After dividend declaration, unit-holders are 197. UTI was set up byentitled to receive dividend within l. SEBI m. one week m. AMFI n. one month n. A special act o. 42 days o. RBI p. six weeks 198. Bank owned Mutual Funds are supervised by191. Unit holders right to information does not k. SEBIinclude l. RBI i. obtaining from the trustees any information m. jointly by SEBI & RBI having an adverse effect on their n. AMFI investments j. inspecting major documents of a fund 199. Investor does not have the right to receive any k. receiving of a copy of the annual financial interest from an AMC if his redemption proceeds are statements of that fund not despatched within 10 working days l. approving investment decisions of the m. True fund n. False192. Shortfalls in the case of assured returns schemes 200. If an investor failed to claim his redemptionare met proceeds within 3 years, he can claim the proceeds at k. by sponsors of such schemes k. Par l. Prevailing NAV
  • m. the on the date he has applied for redemption 208. SEBI does not require the following to be n. 15% below the prevailing NAV included in the offer document issued by a mutual 201. After closure of the initial offer an open ended fund scheme, on going sales and repurchases must start q. details of the Sponsor and the AMC within r. Description of the Scheme & investment o. One week objective/strategy p. 30 days s. Investors Rights and Services q. 45 days t. Performance of other mutual funds r. 180 days 209. Key Information Memorandum is202. For scheme to be able to change its fundamental o. an abridged version of the offer documentattributes, it must obtain the consent of p. the Memorandum & Articles of Association o. 50% of the unit holders of the AMC p. 50% of the trustees q. a sheet containing historical NAVs of other q. 75% of the unit holders fund schemes r. none of the above r. Annual Report of the AMC203. The prospectus or Offer Document containing 210. The offer document for a scheme remains validthe details of new scheme is first registered with the even if q. AMFI q. the AMC is reconstituted r. SEBI r. entry or exit load are changed s. Bombay Stock Exchange s. the schemes NAV changes t. Ministry of Finance t. new plans are added to existing schemes204. The offer document issued by mutual funds does 211. The offer document has to be fully revised andnot serve the purpose of updated q. announcing the scheme q. every six months r. giving detailed information about the r. once in two years scheme s. every quarter s. inviting the the investors t. every month t. giving the fund managers investment outlook for the next quarter 212. An addendum giving details of material change in the offer document should be circulated205. The prospectus of a close-ended fund is issued o. distributors/brokers o. every year p. unit holders p. only once at the time of issue q. SEBI q. every quarter r. all of the above r. every six months 213. Which of the following is not true for offer206. Fundamental attributes of scheme documents of open-ended schemes q. do not include the objective of the scheme o. it is first issued at the time the scheme is r. can be changed without the investors launched approval or knowledge p. it is registered with SEBI s. include the terms of the scheme q. it has to be revised periodically t. are not necessary for deciding whether to r. it need not be revised at all invest in the scheme or not 214. All important disclosures that the mutual fund is207. The offer document required to make, by regulation, are contained in the q. contains the terms of issue offer document r. gives no information relevant for making an q. True investment decision r. False s. is not the operating document describing the scheme 215. The offer document issued when an open-ended t. cannot be called a reference document scheme is launched is valid for all times, until amended
  • q. True r. False 225 A passive fund manager q. researches stocks extensively216 The most important source of information for a r. does not buy and sell stocks oftenprospective investor is s. does not have to go through the process of o. offer document stock selection p. Annual Report of the AMC t. does not have to track stocks q. Economic Times r. AMFI Newsletter 226 A fund manager managing an index fund o. has to keep fund expenses low217 The offer document need not be studied by an p. does not have to research stocksinvestor before investing in a scheme q. does not have to balance his portfolio q. True r. none of the above r. False 227 A growth manager looks for218 The offer document is not a legal document q. high current income o. True r. undervalued stocks p. False s. above average earnings growth t. none of the above219 Initial issue expenses are charged to a scheme inthe first year itself 228 A value manager does not look for m. True o. stocks that are currently undervalued in the n. False market p. stocks whose worth will be recognised by220 Scheme-wise annual report of a mutual fund the market in the long termneed not be q. high current yield q. sent to all unit-holders r. long term capital appreciation r. forwarded to SEBI s. published as an advertisement 229 From an investors viewpoint, the most important t. stock exchanges is q. a funds investment style221 Mutual funds value their investments r. performance of the fund o. at purchase price s. the fund managers judgement p. on a mark-to-market basis t. none of the above q. at par r. at book value 230 Fundamental analysis involves i. checking the foundations of the companys222 Investors are totally exempt from paying any tax factory buildingon the dividend income they receive from mutual j. research into the operations and financesfunds of the company o. True k. studying the companys share prices p. False l. none of the above223 Income distributed to unit-holders by a debt fund 231. Which of the following is not considered foris liable to dividend distribution tax technical analysis o. True q. historical data on the companys share price p. False r. the company shares trading volume s. current market sentiment224 A close-ended has average weekly net assets of t. the companys regulatory environmentRs 200 crore.As per SEBI regulations, the AMC cancharge the fund with investment and advisory fees 232. Quantitative analysis is more likely to be doneupto: to evaluate a particular sector or industry rather than o. Rs 2.25 crore any specific stock p. Rs 2.00 crore o. True q. Rs 2.50 crore p. False r. Rs 3.00 crore
  • m. continuous tracking systems233. Fundamental analysis forms the basis to decide n. equity analysts q. when to buy a given share o. trustees r. whether to buy a given share or not p. security dealers s. whether to use technical analysis or quantitative analysis 242. Security dealers of a mutual fund t. whether the companys factory can o. guard the cabin of the fund manager withstand earthquakes p. execute buy and sell orders for the fund q. decide which shares to buy or sell234. Technical analysis guides the decision on r. none of the above o. whether to buy or sell p. the right time to buy or sell 243. As per SEBIs requirements each scheme of a q. whether companys technical personnel are mutual fund should have a different fund manager adequately qualified o. True r. none of the above p. False235. Which of the following is not an investment 244. Debt securities bought at a discount to their facephilosophy value are generally o. capitalising on economic cycles m. interest bearing p. focusing on growth sectors n. zero coupon bonds q. capitalisation o. paying interest at a floating rate r. finding value stocks p. none of the above236. When expecting a fall in market price, fund 245. In India, a large part of debt securities paymanagers can reduce the loss in portfolio value by interest on k. speculating m. a floating rate basis l. not buying and selling shares at all for some n. a fixed rate plus a variable portion days o. a fixed rate m. using equity derivatives p. zero coupon basis n. giving TV interviews to improve sentiment 246. The Indian debt market is largely wholesale in237. Equity derivative instruments are nature o. shares o. True p. bonds p. False q. contracts r. notes 247. In the wholesale debt market, the largest proportion of trading is seen in238. A futures contract allows one to buy or sell the 1. Government Securitiesunderlying shares, but need not result in delivery 2. Corporate Bonds q. True 3. T-Bills r. False 4. PSU Bonds239. Derivatives cannot be based on market indices 248. The largest proportion of trades done in the q. True wholesale debt market is accounted by r. False o. mutual funds p. foreign banks240. In a mutual fund, the overall decisions on q. Indian banksallocating money to particular industries/sectors are r. financial institutionstaken by q. equity analysts 249. Certificates of Deposits (CDs) are issued by r. fund managers o. Regional Rural Banks s. security dealers p. Corporates t. trustees q. Scheduled commercial banks r. none of the above241. Continuous tracking of the companies in whicha mutual fund has invested is done by 250. Commercial Paper is issued by Corporate bodies
  • o. to meet short-term working capital u. call out the names of the investors requirements v. redeem the debt on maturity p. to finance the acquisition of long term w. extend the tenure of the debt capital assets x. redeem the debt before maturity q. to retire long term debt r. to pay dividend 259. A put provision in a debt issue allows 251. Government securities are issued through the 1. investor to put away the certificates in safe RBI deposit vaults s. True 2. investors to redeem debt prior to t. False maturity 3. issuers to redeem debt prior to maturity252. The yield on Treasury Bill (T-Bill) us 4. investors to extend the tenure of debtdetermined by s. the Government of India 260. Current yield relates interest on a security to t. auction u. its current market price u. the State Governments v. its face value v. floating rate method w. its fair value x. the current price of T-Bills253. Which of the following are not normally foundin the portfolio of a debt fund 261. To compare bonds with different coupon rates, u. long-dated Government Securities maturities and prices, investors would use: v. Corporate debentures u. current yield w. bonds issued by financial institutions v. technical analysis x. certificates of deposit issued by banks w. yield to maturity x. fundamental analysis254. Which of the following do not represent theamount an investor of a debt security will be paid 262. When interest rates rise, bond pricesupon maturity 1. also rise u. par value 2. fall v. face value 3. are not affected w. fair value 4. fluctuate either up or down x. redemption value 263. Yield curve is also known as255. Coupon of a debt security refers to s. Curve of Interest s. a piece of paper attached to the certificate t. Term Structure of Interest Rates t. the return on investor would earn u. Curve that yields u. the amount rate of interest paid on par v. none of the above value of the bond v. none of the above 264. An important indicator of expected trends in interest rates is256. Which of the following do not apply to the term s. The Economic Timesmaturity of a debt security? t. the Sensex u. the date on which the certificates becomes u. the Yield Curve old v. the Chief Ministers Speech v. the term of the bond w. the date of redemption 265. It may not be possible to reinvest interest x. the date on which the issuer has to repay the received at the same rate as principal. This is known amount as s. reinvestment risk257. Call or put provisions are used to modify the t. inflation riskfixed maturity of debt securities u. interest-rate risk u. True v. call risk v. False 266. A bonds rating indicates its258. A call provision in a debt issue allows the issuer s. reinvestment riskto t. default risk
  • u. inflation risk v. interest-rate risk 275. Investment policies of a mutual fund are determined by267. If a bond cannot be sold at a price near its value, u. the fund managerit means that investment in this bond has v. the AMC management s. high liquidity risk w. the marketing department based on what t. high default risk distributors want u. low liquidity risk x. the investors v. inflation risk 276. Which of the following measures are not taken268. The additional yield required to account for the by SEBI for protecting investors of mutual fundsrisk of default by the borrower is known as s. mandating minimum levels of q. yield plus diversification for mutual funds r. yield spread t. ensuring that the funds are not used to s. yield extra favour a few companies t. yield premium u. tracking the securities that each fund has invested in269. A high credit rating does not mean v. ensuring that the funds are invested in o. high yield spread approved securities only p. high perceived safety q. low yield spread 277. As per SEBI norms, a funds investments, in the r. low risk premium equity shares of any one company are restricted to u. 25% of NAV270. If 10-year government securities Neil 10% and a v. 10% of NAV10-Year fixed deposit in a company yields 12%, the w. 50% of NAVyield spread is x. 100% of NAV u. 12% v. 22% 278. A mutual fund manager is not allowed to sell w. 10% short when he expects a crash in the market x. 2% s. True t. False271. The "duration" of an interest-bearing bond is s. longer than its maturity 279. In a mutual fund, having many schemes, al t. less than its maturity securities bought can be held in a general account and u. equal to its maturity transferred later to various schemes to attain certain v. the quality of paper used for the certificate profit or loss objectives u. True272. A bond with a coupon of 9% when interest rates v. Falsefor similar maturities are 11% will sell q. above par 280. A mutual fund may invest in short-term deposits r. below par of scheduled commercial banks s. at par m. True t. at a price unrelated to the prevailing interest n. False rate 281. Mutual funds are allowed to lend273. Changes in foreign exchange rates have no u. loansbearing on interest rates v. securities q. True w. physical assets r. False x. none of the above274. Inflation and interest rates are inversely 282. In case of listed securities of group companiesproportional of the sponsor, mutual fund is not allowed to invest s. True q. 25% of its net assets t. False r. 10% of its net assets s. at all t. >5% of net assets
  • 283. A mutual fund may transfer investments from 291. The difference between NAV change and totalone scheme to another return as measures of fund performance is u. not at all q. none v. at current market rates r. total return takes dividend into account w. at cost price while NAV change does not x. at a fixed premium over market rate s. total return does not take NAVs into account t. total return does not take the time period284. Interest Rate Risk for an Indian debt fund can be into accountreduced by using s. Futures 292. The most suitable measure of fund performance t. Options for all fund types is u. Interest Rate Swaps s. NAV Change v. none of the above t. Total Return u. Total Return with reinvestment285. The Interest Rate Forecasting Unit of a debt v. none of the abovefund is generally manned by s. technicians 293. The expense ratio used for measuring fund t. statisticians performance is an indicator of u. economists & econometricians q. product market condition v. accountants r. growth in the economy s. prevalent market practices286. AMCs need not maintain records in support of t. the funds efficiencyeach investment decision o. True 294. The Expense Ratio as a measure of a funds p. False performance is defined by a funds q. total expenses and average net assets287. When interest rates for similar maturities bonds r. total expenses and total assetsare 11%, bond with a 9% coupon rate will sell s. average expenses and average net assets s. above par t. none of the above t. below par u. at par 295. While computing the Expense Ratio for a fund, v. at a price unrelated to the interest rates for brokerage commissions on the funds transactions are similar securities not included in the fund expenses q. True288. The most suitable measure for a funds r. Falseperformance does not depend on the s. type of fund 296. The Expense Ratio is not of utmost importance t. investment objective of the fund in case of u. financial market conditions q. Debt fund v. amount invested by investor r. Index fund s. Equity fund289. If the NAV of an open-ended fund was Rs.16 at t. Bond fundthe beginning of the year and Rs.22 after 13 months,the annualised change in NAV is 297. The Expense Ratio is not affected by s. 6.0% p. fund size t. 34.6% q. average account size u. 40.6% r. portfolio composition v. 37.5% s. stock market conditions290. Change in NAV as a measure of fund 298. The Income Ratio as a measure of a fundsperformance is more suitable for performance is defined by the funds u. growth funds s. total income and total assets v. income funds t. net investment income and net assets w. funds with withdrawal plans u. total income and net assets x. none of the above v. none of the above
  • x. 50% of net assets299. The Income Ratio is more suitable for y. 25% of net assetsevaluating the performance of z. 20% of net assets s. Equity Funds t. Growth Funds 308. Which of the following is of no relevance in u. Regular Income Funds evaluating a funds performance v. Index Funds y. The performance of the stock market as a whole300. Portfolio turnover rate of a fund measure the z. The performance of other mutual funds s. size of the funds portfolio aa. The returns given by other comparable t. amount of buying and selling done by the financial products fund bb. The change in wholesale price index u. the average number of units sold by the fund in one day 309. The choice of an appropriate benchmark for v. none of the above evaluating a funds performance depends on 301. A high turnover rate for a fund indicates s. the fund manager u. high transaction costs t. the investment objective of the fund v. greater efficiency u. SEBI w. high returns to the investor v. AMFI x. a rising market 310. An actively managed equity fund expects to302. Turnover rates would be most relevant to y. be able to beat the benchmarksanalyse the performance of z. earn the same returns as the benchmark w. equity funds aa. have no benchmarks x. growth funds bb. underperform when compared with the y. debt funds benchmark z. value funds 311. For evaluating funds, the preferred benchmark303. Transaction costs include would be the y. all expenses related to trading y. BSE Sensex z. all expenes charged to the fund z. S&P CNX Nifty aa. distribution expenses aa. BSE 200 bb. none of the above bb. S&P CNX Sectoral Indices304. Which of the following are not included in 312. To evaluate a close-ended debt-fund, a suitableTransaction costs? benchmark would be y. brokerage commissions s. BSE Sensex z. stamp duty on transfers t. I-Secs I-BEX aa. custodians fees u. interest on bank fixed deposits of similar bb. agent commissions maturity v. S&P CNX Defty305. Which of the following transaction costs are notquantified in the offer document 313. When comparing performance of two funds, the w. brokerage commissions following need not be similar x. dealer spreads w. Risk profiles y. custodians fees x. Investment objectives z. registrars fees y. Fund size z. Fund managers306. The size of a fund has no bearing on itsperformance 314. Which of the following is false? y. True w. ROI is a measure similar to Total Return z. False with Reinvestment of distribution x. Total Return with Reinvestment of307. As per SEBI, mutual funds can borrow for short distributions assumes reinvestment at NAVterm to the extent of on the distribution date w. total net assets
  • y. As a measure of performance, Total Return z. none of the above with Reinvestment of distribution seeks to overcome the shortcomings of simple Total 322. Within an asset class, which individual security Return to invest in should be decided by z. Because of its simplicity, simple Total u. the financial planner Return is preferred in practice to Total v. the investor himself Return with Reinvestment of distribution w. a professional fund manager x. an objective advisor315. The basis of genuine investment advice shouldbe 323. Financial Planning comprises 1. the current market situation s. defining a clients profile and goals 2. the agent commissions paid by different t. recommending appropriate asset allocation funds u. monitoring financial planning 3. financial planning to suit the investors recommendations situation v. all of the above 4. planning to complete the agents annual targets 324. Financial planning is relevant only for high networth individuals316. Financial goals do not include u. True w. buying a home v. False x. winning a sports gold medal y. planning for retirement 325. Financial planning does work for older clients z. saving for childs education y. True z. False317. Financial planning allows a person w. to become a billionaire 326 Financial planning is primarily tax planning x. to achieve financial goals through proper w. True management of finances x. False y. to invest in foreign countries z. none of the above 327 In financial planning, all responsibility ends with the financial planner and the client has no318. Financial plans do not alter in any way the responsibilitiesamount of tax an investor pays as the tax is on his y. Trueincome z. False u. True v. False 328 The constraint on financial planning due to insufficient investable resources can be remedied to319. Which of the following works with an investor some extent byon his overall financial situation u. decreasing the standard of living s. Tax Advisor v. disciplining children t. Financial Planner w. disciplined monthly budgeting u. Insurance Agent x. none of the above v. Financial Advisor 329 In the growth option offered by mutual funds, the320. A financial planner takes responsibility for the number of units held by an investor increases becausefinancial well-being of his/her clients of y. True w. growth in net asset value i.e. capital z. False appreciation x. reinvestment of dividend which is like321. Financial planners and their clients should focus compoundingon y. interest received on the funds assets w. allocating funds to asset classes (e.g. debt, z. none of the above equity etc.) x. allocating funds to individual securities 330 To maximise returns on investment, once an y. tracking stocks which they feel have investor buys into a fund, he/she should hold on to it potential no matter what happens
  • o. True p. False 337. Which of the following entities can given loans against securities331 If an investor keeps investing a fixed amount at w. UTIregular intervals, the average cost of his purchases x. Bankswill always be less than if he makes investment at y. Mutual fundsirregular periods z. none of the above y. True z. False 338. Which of the following investment products do not give guarantee for return or capital332. Which of the following lets an investor book w. Bank depositsprofits in a rising market and increase holdings in a x. Pubic provident fund (PPF)falling market y. National Savings Certificates (NSC) u. Fixed Rates of Asset Allocation z. Units of a mutual fund v. Flexible Ratio of Asset Allocation w. Investment without any asset allocation plan 339. The biggest advantage of investment in gold is x. Buy and Hold Strategy w. High returns x. High appreciation in value333. A Flexible Ratio of Asset Allocation means y. Low Purchase price y. continuously changing the ratio of various z. Hedge against inflation assets in the portfolio z. not doing any re-balancing and letting the 340. The biggest disadvantage of investment in real profits run estate is aa. active switching y. Less potential for capital appreciation bb. none of the above z. High purchase price aa. Depreciation in value as time passes334. The strategy advisable for an investor to bb. Value gets eroded due to inflationmaximise investment return in the long run is w. buy and hold on to investments for a long 341. Which of the following is not an advantage of time bank deposits? x. liquidate poorly performing investments u. Liquidity from time to time v. High perceived safety y. liquidate good performing investments fro w. Low entry price time to time x. High yield after tax z. switch from poor performers to good performers 342. Listing of shares at a stock exchange ensures w. guaranteed returns335. A criticism of rupee-cost averaging is x. long term capital appreciation w. Investment is for the same amount at regular y. low risk intervals z. high liquidity x. Over a period of time, the average purchase price will work out higher than if one tries to 343. The rate of interest paid by a company on guess the market highs and lows debentures issued by it depends on y. It does not tell you when to buy, sell or u. the stock market situation switch from one scheme to another v. SEBI guidelines z. Rupee cost averaging has no serious w. the companys credit rating shortcomings x. the amount of money being raised336. In India, individual investors do not have direct 344. Which of the following is not a characteristic ofaccess to company fixed deposits q. capital market instruments u. A higher rate of interest r. real estate v. higher risk s. bullion w. unfavourable effect of tax t. money market instruments x. very high liquidity
  • dd. 9.5% before tax345. Which of the following is untrue for Public ee. 8.5% before taxProvident Fund Schemes ff. 8.5% after tax s. The interest is tax-free t. Post-tax returns are attractive 354. Individual investors do not normally invest u. Liquidity is rather low in Government Securities because v. none of the above cc. individual investors re not allowed to invest in Government Securities346. Indira Vikas Patra is an investment product dd. the amount required for investment ispopular with very large u. rural investors ee. safety of principal is not guaranteed v. investors in high tax bracket ff. none of the above w. urban investors x. risk taking investors 355. The amount an insurance company would pay to the nominee if a policyholder died is347. Finance Acts of 2000 and 2001 have reduced known as thetax-free interest on Public Provident Fund to aa. premium t. 12% bb. sum assured u. 10.5% cc. face value v. 9% dd. real value w. 11% 356. Dividends distributed by mutual funds are348 Most individuals invest in life insurance policies aa. taxed at sourcefor bb. taxed in the hands of the investors w. risk protection cc. are subject to capital gains tax x. tax benefits dd. are tax-free in the hands of the investor y. easy liquidity z. high returns 357. Investing through mutual fund is a better option than investing directly in the stock market349. Annual contribution to Public Provident Fund becauseshould be identifying stocks is a difficult process w. Rs.10000 agents get commissions on mutual fund investment x. between 100 and Rs.6000 returned are guaranteed by mutual funds y. between Rs.600 and Rs.1000 all of the above z. none of the above 358. A small investor can build a diversified350. The current yield on Indira Vikas Patra works portfolio byout to aa. buying one share each of all listed w. 10.5% companies x. 11% bb. investing in a mutual fund y. 10% cc. borrowing enough money to buy shares z. 9% of well-managed companies 351. The tenure of an Indira Vikas Patra is dd. none of the above y. 7 years z. 6 years 359. Which of the following is not an advantage aa. 5 years of mutual fund investment over direct investment bb. 3 years cc. Higher liquidity dd. Lower transaction costs352. The maturity period of RBI Relief Bonds is ee. Greater convenience aa. 5 years ff. guaranteed returns bb. 6 years cc. 7 years 360. There is no contractual guarantee for dd. 8 years repayment of principal or interest to an investor in353. The annual yield on RBI Relief Bonds is w. bank deposit cc. 9.5% x. debt fund
  • y. secured debentures aa. low risk fund z. all of the above bb. moderate risk fund cc. high risk fund361. Which of the following debt investments is dd. low-to-moderate risk fundnot rated cc. Corporate Bonds 369. International funds invest in various and so dd. Commercial Paper are low risk funds ee. Company Deposit w. True ff. Debt Fund x. False362. Gold and real estate are attractive 370. Investment in gold is a hedge againstinvestment options only in high inflation inflation but investment in a precious metal fundeconomies falls in the high risk category cc. True w. True dd. False x. False363. Direct investment in stock market can be a 371. By their very nature, growth funds arebetter option than investing through mutual considered as high risk fundsfunds if the investor aa. True w. wants better returns than those offered bb. False by mutual funds x. has large capital, knowledge and 372. Short Term bond funds are resources for research aa. low risk funds y. has identified a bullish phase in the bb. moderate risk funds stock market cc. high risk z. wants to invest for the long term dd. of the above depending on the market364. Deciding on strategies such as long-term 373. The risk level of commodity funds iscompounding, cost averaging, value averaging, y. high risk categoryactive switching, all depend on the z. determined by the commodity price aa. stock market situation on date movements bb. amount of money to be invested aa. cannot be specified cc. investors risk tolerance bb. low risk category dd. phase through which the economy is passing 374. As compared to a fund with fluctuating total returns, a fund with stable positive earnings365. Financial Planning involves w. gives higher returns aa. studying financial management x. is less risky bb. managing the risks of investing y. gives lower returns cc. financing the clients investments z. is more risky dd. none of the above 375. "Risk" is equated with366. Greater returns come only from assuring w. volatility of earningshigher risks, and a higher risk portfolio x. level of earningsguarantees higher returns y. the number of investors in a fund w. True z. the number of schemes of a fund family x. False 376. Volatility of an equity fund portfolio is367. The risk tolerance of an investors is independent of theindependent of aa. kind of stocks in the portfolio aa. his age bb. degree of diversification of the portfolio bb. his income cc. fund managers success at market cc. the stock market movements timing dd. his job security dd. number of investors in the scheme368. A sector fund is a 377. Equity price risks are
  • y. company specific dd. dramatic results z. market level ee. better returns than every other available aa. sector specific option bb. all of the above ff. only realistic wealth accumulation goals378. Diversification reduces 385. Asset Allocation is aa. company specific risk aa. keeping certificates of the physical bb. market level risk securities in proper places cc. both of the above bb. allocation the available money to all the dd. none of the above securities available cc. allocating the right proportion of funds to379. Which of the following is most risky? equity, debt and money market y. Investing in a money market mutual securities fund dd. none of the above z. Investing in an index fund aa. Short term investment in an equity fund 386. Once a financial advisor works out ideal bb. Long term investment in an equity fund Asset Allocation, it can be used for all investors whom he/she advises380. A fund with a high beta coefficient gives aa. Truegreater returns in a rising market, and is more bb. Falserisky in a falling market aa. True 387. Asset distribution among equity, debt and bb. False money market securities should correspond to the investors need for capital growth, income381. Which of the following is a disadvantage of and liquidityStandard Deviation as a measure of risk u. True q. Standard Deviation measures total risk, v. False not just market risk r. It is based on past returns, which does 388. The liquidity needs of an investor are met not necessarily indicate further through performance aa. Equity Funds s. It is an independent number bb. Index Funds t. All types of funds can be measured with cc. Money Market Funds standard deviation dd. Sector Funds382. The role of an agent is to 389. A retired person generally needs a greater aa. point out the features and benefits of proportion of various investments options aa. Debt funds bb. help the investor develop the right bb. Equity funds approach to investing cc. Money Market funds cc. recommend some investment option dd. All of the above available dd. offer ad hoc advise whenever the 390. To satisfy a young investors need for investor has surplus money available growth, a greater proportion of investment should be advised in383. One of the most effective ways to invest aa. Gilt fundsthrough mutual funds is to bb. Income Funds y. develop a model portfolio cc. Equity Growth funds z. buy a few units of every mutual fund dd. Liquid funds scheme available aa. invest all the money in one fund scheme 391. A very high proportion of investment in all bb. invest all the money in different types of equity funds is advisable for investors schemes of the same fund family cc. in distribution phase dd. in accumulation phase384. Mutual fund should be advised to expect ee. in transition phase cc. low post tax returns
  • ff. who are wealth preserving affluent x. True individuals y. False392. The transition phase of an investors wealth 399. Between the past performance of a fundcycle is when and its suitability for an investor, past y. the financial goals have been already performance is more important met aa. True z. the investor has retired bb. False aa. financial goals are approaching bb. investor suddenly gets a windfall 400. Structural characterisations of an equity fund include393. A high proportion of investment in income aa. costs of investingfunds is required by bb. the specific securities in which the fund aa. accumulating investors has invested bb. affluent investors cc. the number of employees of the AMC cc. investors in the inter-generational dd. all of the above transfer phase 401. An equity funds age and size are irrelevant dd. investors in the distribution phase when selecting a fund for investment cc. True394. Retired investors should dd. False y. not draw down on their capital z. not invest in securities which bear risk of 402. The charge to an investor at the time of he capital erosion redeems his units from the fund is known as aa. continue holding a major portion of their ee. recovery charge holding in equity growth funds ff. repurchase load bb. never invest in equity gg. redemption weight hh. exit load395. For older investors who want to transfertheir wealth 403. The load amount charged to a scheme over a y. no financial planning is required period of time is called z. the right investment strategy depends gg. entry load upon who the beneficiaries are hh. exit load aa. the right investment strategy depends ii. deferred load upon the state of the stock market jj. no-load bb. all the funds can be invested in aggressive equity funds 404. Contingent Deferred Sales Charge (CDSC) gg. is higher for investors who stay invested in396. Investors who acquire sudden wealth the scheme longer w. can speculate with all the acquired hh. is lower for investors who stay invested in money in the stock markets the scheme longer x. should not use any of the new wealth to ii. is the same for all investors irrespective of invest in equity how long they stay invested y. should take the effect of taxes into jj. is not allowed to be charged to mutual fund account investors in India z. need not pay any taxes on the newly acquired wealth as it is not a part of their 405 A funds declared NAV does not include loads regular income ee. True ff. False397. Only if a specialty offshore fund hasconsistently given very good performance, it can 406. Which of the following fund types arebe considered for investment by a retiree comparable y. True ee. An aggressive equity fund and a money z. False market mutual fund ff. A value fund and a government securities398. Past performance should not be solely fundrelied on for selecting a fund gg. A bond fund and a debt fund
  • hh. A diversified equity fund and a debt fund ee. performance ff. risk407. Who is the primary guardian of unitholders gg. both the abovefunds/assets hh. none of the above ee. The AMC ff. The Trustees 415. Beta of an equity fund measures its gg. The Registrars y. performance hh. The custodians z. risk aa. both the above408. In case of a fund merger or Take-over bb. none of the above gg. High Court approval may not be necessary hh. SEBI approval is a must 416. The best equity fund, relative to others, would ii. all unitholders must be informed have jj. all of the above ee. higher Ex Marks, lower Beta and higher Gross Dividend Yield409. Units of a money market mutual fund can be ff. higher Ex Marks, higher Beta and higherissued to Gross Dividend Yield aa. individuals gg. lower Ex Marks, lower Beta and lower bb. banks Gross Dividend Yield cc. trusts hh. lower Ex Marks, higher Beta and higher dd. all of the above Gross Dividend Yield410. Though Indian mutual funds have restrictions on 417. When selecting equity funds for investing, thoseborrowings (only20% of net assets and for six at the top of the performance rankings should bemonths only) which are to meet cash needs for avoidedredemption only, UTI is allowed to borrow within ee. Truemore relaxed norms ff. False gg. True hh. False 418. A debt funds age and size are not important when selecting a fund for investment411. An equity fund can be said to be concentrated y. Truewhen z. False ee. when it invests in only in two or three stocks ff. when it invests in may companies of the 419. Debt schemes are popular because same sector y. the Indian Stock Market is always going gg. when top ten holdings account for more than down 50% of net assets invested z. the returns are more predictable hh. when top ten holdings account for more than aa. most investors are always in debt 25% of net assets invested bb. all of the above412. The size of the market capitalisation of a funds 420. Yield-to-maturity of a debt funds portfolio isequity holdings is inversely proportional to the more important when the investment objective isreturns that cc. current income aa. can be expected from the fund dd. total return bb. level of risk assumed by the fund ee. liquidity cc. state of the stock market ff. all of the above dd. all of the above 421. Compared to equity funds, income margins for413. A steady holding of investments in an equity debt funds arefunds portfolio indicates ee. narrow ee. long-term orientation ff. higher ff. lower transaction costs gg. the same gg. both the above hh. almost nil hh. none of the above 422. Debt funds with long-term investments carry414. Ex-Mark of an equity fund measures its higher risk of capital loss
  • cc. True v. unforeseen economic changes affecting the dd. False portfolios preferred sectors w. both the above423. The differerentiating factor among debt funds of x. none of the abovecomparable maturity and quality is aa. gross yields 431. If a charitable trust approaches a distributor with bb. costs an application for investment in a mutual fund, the cc. fund age distributor should dd. tenure of the fund manager ee. accept the application without wasting time ff. reject the application outright424. Distribution tax should be taken into into gg. refer to the offer documentaccount when computing net returns from hh. accept the application as a direct application aa. equity funds bb. debt funds 432. An application form for investment in a mutual cc. both the above fund is available with dd. none of the above cc. the offer document dd. the abridged annual report425. All debt fund investors are exposed to risk of ee. the key information memorandumprincipal loss ff. a bank challan ee. True ff. False 433. An aggrieved unit-holder of a mutual fund can sue426. Running a money market mutual fund requires gg. the AMCmore of hh. the trustees cc. credit analysis skills ii. the sponsor if returns have been guaranteed dd. equity analysis skills by them ee. patience jj. none of the above ff. trading skills 434. As per SEBI regulations for valuation of427. Which is the most important in selecting debt investments held by mutual funds, a security isfund for better return considered "non-traded" when it ee. past performance ee. has not been traded for 60 days prior to ff. level of interest rates valuation gg. fund expertise ff. has not been traded for 30 days prior to hh. the securities in which it has invested valuation gg. is not listed on any stock exchange428. Investors should be advised to avoid investing in hh. is held by the mutual fund without buying ora debt fund with a selling cc. lower rated portfolio and higher expense ratio 435. An Ex-Mark of 100% is possible for dd. higher rated portfolio and lower expense cc. a growth fund ratio dd. an aggressive growth fund ee. lower rated portfolio and lower expense ee. an index fund ratio ff. a balanced fund ff. lower rated portfolio and higher expense ratio 436. A trail commission is justified when w. an investor cancels his investment429. An ideal money market mutual fund must have x. the investor redeems his investment in a cc. lower returns very short time dd. lower expense ratio y. an agent invests his own money, not that of ee. low quality of investments a client ff. all the above z. an agent sells many mutual funds430. Circumstances that might cause an investor to 437. Of the following, which type of fund wouldchange the composition of his portfolio have a higher P/E multiple in comparison to the u. cyclical changes in economy average market multiple
  • ee. A Value Fund ff. A Growth Fund 444. A fund that charges a load is better than a no- gg. An Index Fund load fund hh. Could be any of the above three, one cannot cc. True generalise dd. False438. Which of the following is not true as per SEBI 445. An AMC can approach investors either directlyRegulations for Debt Funds? or with the help of ee. Investment in rated debt securities of a aa. individual agents single issuer should not exceed 15% of bb. banks and non-banking finance companies NAV cc. distribution companies ff. Total investment in unrated debt securities dd. all of the above of a single issuer should not exceed 25% of NAV 446. Which of the following is true for Equity Linked gg. Total investment in unrated debt securities Savings Scheme (ELSS) below investment grade should not exceed aa. A tax rebate is available to investors in these 25% of NAV schemes hh. Total investment in rated debt securities bb. The investment has to be locked in for 3 below investment grade should not exceed years 25% of NAV cc. The minimum amount for investment is fixed439. A Money Market Mutual Fund is most likely to dd. All of the aboveinvest in ee. Corporate Bonds 447. A prospective investor ff. Equity Shares z. has the same status as a unit-holder of a fund gg. Government Securities with maturity less aa. can sue the AMC/trustee than 1 year bb. has no legal recourse hh. All of the above cc. all of the above440. Of the following, which would be suitable for a 448. An investor can assess the performance of hisretiree with a modest risk appetite mutual fund by comparing it with the performance of gg. Value Fund cc. other mutual fund of the same type hh. Diversified Equity Fund dd. the stock market ii. Growth Fund ee. other financial products jj. Balanced Fund ff. all of the above441. A high portfolio turnover for a fund indicates 449. Unrated securities in the portfolio of a mutual cc. that the fund is active fund are not to be valued dd. higher transaction costs ee. True ee. both the above ff. False ff. none of the above 450. An exit load guarantees a higher return442. Unit Trust of Indias US-64 Scheme aa. True ee. is listed on stock exchanges bb. False ff. has a fixed price for sale and repurchase 451 Bonds held in the portfolio of a mutual fund are gg. has its sale and repurchase price declared valued at yield to maturity periodicaly by UTI ee. True hh. has its price determined by market forces ff. False443. The Indian debt market 452 The Valuation of non-traded equity shares is cc. is Wholesale in nature done at the trading price 30 days prior to valuation dd. comprises large players like financial date institutions and banks ii. True ee. witnesses large scale trading in government jj. False securities ff. all of the above
  • kk. Rs.1000453 If a unit-holder does not agree to the merger of ll. none of the abovehis fund with another, he has not exit option kk. True 461. When a scheme with assured returns is being ll. False launched, which of the following need not be published in the offer document?454. The most important factor look for when ii. Means of fulfilling the guaranteeinvesting in a corporate fixed deposit is the jj. Information for all schemes launched by the kk. yield fund in the past ll. rate of interest kk. comparison with other mutual funds mm. credit rating of the deposit ll. Investment objective nn. none of the above 462. Mutual fund units can be distributed by455. The most important reason for an investor to ee. trustees of the fundprefer a bank deposit to a mutual fund is ff. the AMC gg. the credit worthiness of the bank gg. Non-banking finance companies hh. because the bank does not invest in hh. banks securities ii. that the bank offers a guarantee 463. A debt fund distributes 10% dividend. How jj. all of the above much tax does the investor have to pay on this dividend?456. A deep discount bond ii. 10% ii. is always sold at a discount to its issue price jj. 12% jj. bears interest annually kk. 20% kk. is redeemed at a price much higher than ll. None issue price ll. bears interest at varying interests 464. A debt fund distributes a 10% dividend. How much tax does the fund have to pay?457. A mutual fund in India is a ii. 10% ii. body corporate jj. 12% jj. company kk. 10.2% kk. trust ll. None ll. an asset management company 465. How many scrips is the NIFTY constitutes of458. When selling a mutual fund, a good agent would cc. 40never dd. 100 kk. describe the past performance of the scheme ee. 30 ll. compare the fund with other mutual funds ff. none of the above mm. assure a rate of return nn. compare the fund with other financial 466. Which of the following is the first step in products financial planning ii. Asset Allocation459. An investor buys one unit of a fund at an NAV jj. Selection of fundof Rs.20. He receives a dividend of Rs.3 when the kk. Studying the features of a schemeNAV is Rs.21. The unit is redeemed at an NAV of ll. None of the aboveRs.22. Total Return is ee. 25.71% 467. Why should one buy an insurance policy? ff. Rs.27.51 gg. It gives high current returns gg. 21.27% hh. It gives good capital appreciation over its hh. Rs.21.75 term ii. It should be bought due to the need for460. A fund sells 100 units of face value Rs.10/- at an insurance and not as an investmentNAV of Rs.12.25. How much would be credited to jj. All of the aboveunit capital? ii. Rs.1225 468. SEBI Regulations for Mutual Funds were jj. Rs.225 formulated in
  • aa. 1992 bb. 1993 476. A disadvantage suffered by mutual fund investor cc. 1995 is that he has no control over the costs of investing dd. 1996 gg. True hh. False469. Expenses incurred by a fund for printing of KeyInformation Memorandum can be amortised over 477. Which of the following statements about UTI is cc. 10 Yrs untrue dd. 5 Yrs ii. It was set up in 1963 ee. 15 Yrs jj. It was formed by RBI ff. Cannot be amortised kk. It was established by an act of Parliament ll. It was not given a monopoly status470. A mutual funds investments are guided by the gg. AMC 478. Which scheme has the largest investor base? hh. Board of Trustees gg. ULIP ii. Investment Objectives hh. UTI Mastershare jj. Unit holders ii. US-64 jj. SBI Magnum471. UTI was the only mutual fund for the period ii. 1984 to 1988 479. Which was the first diversified equity jj. 1963 to 1988 investment scheme in India kk. 1964 to 1992 gg. SBI Magnum ll. none of the above hh. UTI Mastershare ii. MEP-91472. Investors who follow the fixed Asset Allocation jj. Mastergain-92approach ee. maintain balance in their portfolio by 480. The private sector was granted permission to liquidating a part of the position in the asset enter the mutual fund industry in class which has given higher return and y. 1992 reinvesting in the other asset class which has z. 1993 lower return aa. 1998 ff. are not disciplined bb. 1995 gg. increase their equity position when equity prices tend to climb 481. The first non-UTI mutual fund was hh. none of the above ii. SBI MF jj. LIC MF473. An investor should not invest in a mutual fund if kk. Canbank MF ee. his capital base is large ll. Indian Bank MF ff. he is able to carry out detailed investment research and monitor the stock market 482. The organisation responsible for a gg. both the above comprehensive set of regulations for all mutual funds hh. none of the above in India is gg. RBI474. Mutual fund can benefit from economies of hh. SEBIscale because of ii. AMFI ee. portfolio diversification jj. SHCIL ff. risk reduction gg. large volume of trades 483. The 1999 Union Government Budget helped the hh. none of the above Mutual Fund industry by kk. regulating the industry practices475. Which of the following is a disadvantage ll. exempting all mutual fund dividends in thesuffered by a mutual fund investor? hands of investors from income tax gg. High liquidity mm. approving the code of ethics hh. diversification formulated by AMFI ii. no tailor made portfolio nn. doing away with all regulations for mutual jj. low investment funds
  • mm. asset classification, sector484. During the period 1992-99, the mobilisation of selection, selection of fund managers andfunds by the mutual fund industry was about schemes ii. 5% - 6% of gross domestic savings nn. selection of fund managers and schemes, jj. 2% - 4% of gross domestic savings sector selection, asset classification kk. 7% - 10% of gross domestic savings ll. 25% - 40% of gross domestic savings 491. Compounding of interest is best explained by a gg. balanced fund485. Which of the following about Public Providend hh. growth fundFund (PPF) are untrue ii. value fund gg. 50% of the balance of the 4th year can be jj. income fund withdrawn in the 7th year hh. The interest is tax free 492. From whom can a unit-holder seek redressal if ii. The rate of interest is 12% p.a. his complaint is not entertained by the mutual fund jj. contributions upto Rs.60000 are eligible for ii. AMC tax rebate jj. Board of Trustees kk. SEBI486. A close-ended scheme is quoted on the stock ll. RBIexchange at a discount to its NAV when aa. the markets are bearish 493. An investor wishes to switch between a money bb. investors perceive that the fund will be market mutual fund and an equity fund. What would unable to maintain the NAV you advise him? cc. the assets of the fund are undervalued gg. It would be better to stick to one type of dd. none of the above fund, the one that meets his investment objective.487. Which of the following is a fundamental hh. He should keep switching parts of hisattribute of a mutual fund scheme investment from the equity fund to the ii. The names and addresses of the registrars money market fund as the market rises and and custodians switch back to the equity fund when the jj. The nature of the scheme being income market falls bearing ii. He should switch from the money market kk. The specified stocks in the schemes fund to the equity fund in a rising market portfolio and switch back to money market fund when ll. The name and address of the compliance the market falls officer jj. none of the above488. Offer Document of a mutual fund is 494. For choosing an appropriate benchmark to ii. required by investors measure a schemes performance, all of the following jj. required by the AMC for its own reference are required except kk. required as per SEBI regulations ee. the composition and size of the portfolio ll. not mandatory as per SEBI ff. the investment objective gg. historical data of fund performance489. The units of a scheme being sold and hh. the nature of investmentsrepurchases as per the procedure laid down is one ofthe fundamental attributes of a scheme 495. Which of the following characterise the fund ii. True that a risk averse investor should choose jj. False ee. Gross dividend yield 15% Beta 1.5, Ex- Marks 90490. The steps involved in the selection of an equity ff. Gross dividend Neil 10%, Beta 1, Ex-Marksfund for investment are 70 kk. sector selection, asset classification, gg. Gross dividend yield 11%, Beta 0.9, Ex- selection of fund managers and schemes Marks 80 ll. sector selection, selection of fund managers hh. Gross dividend yield 12%, Beta 1.2, Ex- and schemes, asset classification Marks 80
  • hh. 50% in equity funds and 50% in income496. A mainstream diversified debt fund is most fundsaffected by ii. 90% in equity funds having a higher P/E ee. reinvestment risk Ratio than the market ff. liquidity risk jj. all the money in a balanced fund gg. interest rate risk hh. default risk 499. An investor buys units in a fund that has given excellent returns in the past, but his expectations are497. If yields fall, a debt fund manager will do all of not met as the fund does not perform well this year.the following except The investor can dd. sell short maturity securities and buy long gg. sue the AMC maturity securities hh. sue the Trustees ee. see that the funds average duration becomes ii. sue the agent longer than the markets average duration jj. none of the above ff. sell long duration securities and buy short duration securities 500. A funds investments at market value total gg. sell high coupon securities and buy low Rs.700 crores, Total liabilities stand at Rs.50 lacs and coupon securities the number of units outstanding is Rs.28 Crores. What is the NAV498. In which type of schemes should an unmarried cc. Rs.30.19professional working HLL invest dd. Rs.24.98 gg. Scheme investing 80% in debt securities ee. Rs.32.15 ff. Rs.40.49
  • Answers to Practice QuestionQ. Ans Q. No Ans Q. No Ans Q. No Ans Q. No AnsNo 1 b 51 a 101 d 151 c 201 b 2 b 52 d 102 a 152 d 202 d 3 d 53 b 103 b 153 d 203 b 4 d 54 d 104 c 154 d 204 d 5 c 55 c 105 a 155 b 205 b 6 c 56 c 106 d 156 a 206 c 7 b 57 c 107 a 157 c 207 a 8 c 58 c 108 d 158 d 208 d 9 d 59 b 109 d 159 a 209 a10 c 60 d 110 b 160 d 210 c11 b 61 c 111 b 161 a 211 b12 b 62 a 112 c 162 d 212 d13 d 63 d 113 a 163 c 213 d14 c 64 d 114 d 164 c 214 a15 b 65 b 115 d 165 b 215 a16 d 66 c 116 b 166 d 216 a17 b 67 c 117 b 167 c 217 b18 d 68 d 118 a 168 b 218 b19 c 69 c 119 c 169 b 219 b20 c 70 d 120 a 170 d 220 d21 b 71 b 121 b 171 c 221 b22 d 72 b 122 c 172 b 222 a23 c 73 d 123 a 173 b 223 b24 a 74 d 124 d 174 d 224 a25 d 75 c 125 c 175 d 225 c26 d 76 a 126 d 176 b 226 a27 c 77 c 127 d 177 c 227 c28 b 78 a 128 a 178 c 228 c29 c 79 d 129 d 179 c 229 b30 d 80 a 130 a 180 c 230 b31 b 81 c 131 d 181 d 231 d32 c 82 b 132 a 182 b 232 a33 b 83 b 133 b 183 d 233 b34 b 84 b 134 c 184 c 234 b35 b 85 d 135 b 185 b 235 c36 c 86 a 136 d 186 a 236 c37 b 87 b 137 a 187 c 237 c38 c 88 c 138 c 188 a 238 a39 a 89 b 139 b 189 d 239 b40 b 90 b 140 c 190 b 240 b41 b 91 b 141 a 191 d 241 b42 a 92 c 142 b 192 b 242 b43 b 93 c 143 c 193 b 243 a44 c 94 b 144 b 194 a 244 b45 b 95 a 145 d 195 d 245 c46 b 96 b 146 c 196 b 246 a47 c 97 a 147 d 197 c 247 a48 b 98 d 148 c 198 c 248 c
  • 49 B 99 c 149 b 199 b 249 c50 A 100 a 150 c 200 a 250 a Answers to Practice Question for AMFITest A A A A A Q. No n Q. No n Q. No n Q. No n Q. No n s s s s s 251 a 301 a 351 b 401 b 451 a 252 b 302 a 352 a 402 c 452 b 253 d 303 a 353 d 403 c 453 b 254 c 304 d 354 b 404 b 454 c 255 c 305 b 355 b 405 a 455 a 256 a 306 b 356 d 406 c 456 c 257 a 307 d 357 a 407 c 457 c 258 d 308 d 358 b 408 d 458 c 259 b 309 b 359 d 409 d 459 a 260 a 310 a 360 b 410 a 460 c 261 c 311 d 361 d 411 c 461 c 262 b 312 c 362 a 412 b 462 d 263 b 313 d 363 b 413 c 463 d 264 c 314 d 364 c 414 a 464 c 265 a 315 c 365 b 415 b 465 d 266 b 316 b 366 b 416 a 466 a 267 a 317 b 367 c 417 a 467 c 268 b 318 b 368 c 418 a 468 d 269 a 319 b 369 b 419 b 469 b 270 d 320 a 370 a 420 b 470 c 271 b 321 a 371 b 421 a 471 b 272 b 322 c 372 b 422 a 472 a 273 b 323 d 373 a 423 a 473 c 274 b 324 b 374 b 424 b 474 c 275 b 325 a 375 a 425 a 475 c 276 c 326 b 376 d 426 d 476 a 277 b 327 b 377 d 427 c 477 d 278 a 328 c 378 a 428 a 478 c 279 b 329 b 379 c 429 b 479 b 280 a 330 b 380 a 430 c 480 b 281 b 331 a 381 b 431 c 481 a 282 a 332 a 382 b 432 c 482 b 283 b 333 b 383 a 433 c 483 b 284 c 334 d 384 d 434 b 484 a 285 c 335 c 385 c 435 c 485 c 286 b 336 d 386 b 436 b 486 b 287 b 337 b 387 a 437 b 487 b 288 d 338 d 388 c 438 b 488 c 289 c 339 d 389 a 439 c 489 a 290 a 340 b 390 c 440 d 490 c 291 b 341 s 391 b 441 c 491 b 292 c 342 d 392 c 442 c 492 c 293 d 343 c 393 d 443 d 493 b 294 a 344 d 394 b 444 b 494 c 295 a 345 d 395 b 445 d 495 c 296 c 346 c 396 c 446 d 496 c 297 d 347 b 397 b 447 a 497 c
  • 298 b 348 b 398 a 448 d 498 c299 c 349 b 399 b 449 b 499 d300 b 350 a 400 b 450 b 500 b