Financial Markets and Funds MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on Financial Markets and Funds, a fundamental topic in the field of Financial Management and Financial Markets. Whether you're preparing for competitive exams, honing your problem-solving skills, or simply looking to enhance your abilities in this field, our Financial Markets and Funds MCQs are designed to help you grasp the core concepts and excel in solving problems.

In this section, you'll find a wide range of Financial Markets and Funds mcq questions that explore various aspects of Financial Markets and Funds problems. Each MCQ is crafted to challenge your understanding of Financial Markets and Funds principles, enabling you to refine your problem-solving techniques. Whether you're a student aiming to ace Financial Management and Financial Markets tests, a job seeker preparing for interviews, or someone simply interested in sharpening their skills, our Financial Markets and Funds MCQs are your pathway to success in mastering this essential Financial Management and Financial Markets topic.

Note: Each of the following question comes with multiple answer choices. Select the most appropriate option and test your understanding of Financial Markets and Funds. You can click on an option to test your knowledge before viewing the solution for a MCQ. Happy learning!

So, are you ready to put your Financial Markets and Funds knowledge to the test? Let's get started with our carefully curated MCQs!

Financial Markets and Funds MCQs | Page 4 of 16

Q31.
When interest rate is lower than equilibrium rate of borrowing loanable funds, then the financial system has
Discuss
Answer: (b).deficit of funds
Q32.
The shift of demand curve to down and then to the left resulting in
Discuss
Answer: (b).decreases in funds traded
Q33.
The formula of effective annual return is written as
Discuss
Answer: (a).(1+r) c - 1
Q34.
If the equilibrium interest rate increases and the curve of funding supplied shifts to the left then the impact on spending is
Discuss
Answer: (a).increase in near term
Q35.
The monetary expansion increases and gives way to a decrease in equilibrium interest rate, then supply curve of funds must shift
Discuss
Answer: (d).down and to the right
Q36.
If the demand of loanable demands decrease then the borrowing cost of funds is
Discuss
Answer: (b).lower
Q37.
To create the situation with no shortage of funds, the relationship between funds supplied and the funds demanded must have
Discuss
Answer: (d).inverse relationship
Q38.
The funds demand which is pushed by users of funds in the financial markets are classified as
Discuss
Answer: (b).demand of loan-able funds
Q39.
If the equilibrium interest rate increases with respect to increase in interest rate, then the movement along the supply of funds curve show a/an
Discuss
Answer: (c).upside movement
Q40.
For the specific basket of goods and services, the rise in the price on continual basis is considered as
Discuss
Answer: (d).inflation
Page 4 of 16