Class 12 Finance MCQ Chapter 18 Fee-based Financial Services

Class 12 Finance MCQ Chapter 18 Fee-based Financial Services Solutions in English Medium to each chapter is provided in the list so that you can easily browse through different chapters Class 12 Finance MCQ Chapter 18 Fee-based Financial Services Question Answer and select need one. Class 12 Finance MCQ Chapter 18 Fee-based Financial Services Solutions Download PDF. AHSEC Class 12 Banking Multiple Choice Solutions.

Class 12 Finance MCQ Chapter 18 Fee-based Financial Services

Also, you can read the NCERT book online in these sections Solutions by Expert Teachers as per Central Board of Secondary Education (CBSE) Book guidelines. AHSEC Class 12 Finance Objective Type Solutions are part of All Subject Solutions. Here we have given HS 1st Year Banking Multiple Choice Question and Answer, HS First Year Banking MCQs Solutions for All Chapters, You can practice these here.

Fee-based Financial Services

Chapter: 18

MCQ

1. Which of the following is a fee-based financial service?

(i) Stock broking.

(ii) Fixed deposit.

(iii) Savings account.

(iv) Current account.

Ans: (i) Stock broking.

2. Who regulates stock brokers in India?

(i) RBI.

(ii) SEBI.

(iii) IRDA.

(iv) Ministry of Finance.

Ans: (ii) SEBI.

3. Credit rating agencies primarily assess:

(i) Product quality.

(ii) Repayment capability.

(iii) Customer service.

(iv) Profit margin.

Ans: (ii) Repayment capability.

4. Which of the following is not a function of a stock broker?

(i) Intermediary.

(ii) Accepting deposits.

(iii) Advisor.

(iv) Provider of margin finance.

Ans: (ii) Accepting deposits.

5. The main earnings of merchant bankers come from:

(i) Interest.

(ii) Dividends.

(iii) Fees.

(iv) Capital gains.

Ans: (iii) Fees.

6. Which of these is a well-known credit rating agency in India?

(i) SBI.

(ii) CRISIL.

(iii) ICICI.

(iv) HDFC.

Ans: (ii) CRISIL.

7. The two main types of shares are:

(i) Bonds and debentures.

(ii) Equity and preference.

(iii) Mutual and hedge.

(iv) Commercial and industrial.

Ans: (ii) Equity and preference.

8. Which service involves the evaluation of a company’s creditworthiness?

(i) Portfolio management.

(ii) Credit rating.

(iii) Lease finance.

(iv) Stock broking.

Ans: (ii) Credit rating.

9. Stock brokers charge their clients a:

(i) Salary.

(ii) Rent.

(iii) Brokerage.

(iv) Dividend.

Ans: (iii) Brokerage.

10. Merchant bankers are primarily regulated by:

(i) RBI.

(ii) SEBI.

(iii) Ministry of Finance.

(iv) IRDA.

Ans: (ii) SEBI.

11. Which is NOT a component of credit rating?

(i) Financial instrument.

(ii) Borrower rating.

(iii) Customer rating.

(iv) Market capitalization.

Ans: (iv) Market capitalization.

12. Lease finance is an arrangement between:

(i) Banker and investor.

(ii) Lessor and lessee.

(iii) Broker and client.

(iv) Buyer and seller.

Ans: (ii) Lessor and lessee.

13. In India, the first merchant banking services were started by:

(i) State Bank of India.

(ii) National Grindlays Bank.

(iii) Punjab National Bank.

(iv) Canara Bank.

Ans: (ii) National Grindlays Bank.

14. A stock broker is expected to exercise:

(i) Manipulation.

(ii) Due skill and care.

(iii) Personal gain.

(iv) Ignorance.

Ans: (ii) Due skill and care.

15. Which of the following is NOT a factor considered in credit rating?

(i) History of organisation.

(ii) Quality of assets.

(iii) Advertising expenses.

(iv) Liquidity management.

Ans: (iii) Advertising expenses.