International Finance and Treasury MCQ Questions and Solutions with Explanations

Section 1 Section 2 Section 3 Section 4 Section 5 Section 6 Section 7 Section 8 Section 9

41.
The primary component of the current account is the.

A. balance of trade

B. balance of money market flows

C. balance of capital market flows

D. unilateral transfers

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42.
______________ is (are income received by investors on foreign investments in financial assets securities

A. Portfolio income

B. Direct foreign income

C. Unilateral transfers

D. Factor income

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43.
LIBOR refers

A. London Inter Bank Offered Rate

B. London International Bank Offered Rate

C. London interest for Bank offering Rate

D. London Interest Bond off shore Rate

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44.
European currency options can be exercised _; American currency options can be exercised _.

A. any time up to the expiration date; any time up to the expiration date

B. any time up to the expiration date; only on the expiration date

C. only on the expiration date; only on the expiration date

D. only on the expiration date; any time up to the expiration date

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45.
Conditional currency options are

A. options that do not require premiums

B. options where the premiums are cancelled if a trigger level is reached

C. options that allow the buyer to decide what currency the option will be settled in

D. options with discount

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46.
International Monetary Fund formal existence came into being in

A. 12-05-44

B. 27-07-44

C. 27-12-45

D. 27-09-45

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47.
Based on interest rate parity, the larger the degree by which the foreign interest rate exceeds the UK interest rate, the.

A. larger will be the forward discount of the foreign currency

B. larger will be the forward premium of the foreign currency

C. smaller will be the forward premium of the foreign currency

D. smaller will be the forward discount of the foreign currency

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48.
Which year the Bretton Wood agreement failed?

A. 1983

B. 1971

C. 1963

D. 1989

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49.
A banker's acceptance is a draft drawn on and accepted by an__________.

A. bank

B. importer

C. exporter

D. Agent

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50.
Type of bonds which does not have U.S treasury as collateral and are swapped for outstanding loans are classified as

A. collateral bonds

B. sovereign bonds

C. primary bonds

D. secondary bonds

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International Finance and Treasury MCQ Questions and Solutions with Explanations | Management

41. The primary component of the current account is the.

Answer & Solution

42. ______________ is (are income received by investors on foreign investments in financial assets securities

Answer & Solution

43. LIBOR refers

Answer & Solution

44. European currency options can be exercised _______; American currency options can be exercised _______.

Answer & Solution

45. Conditional currency options are

Answer & Solution

46. International Monetary Fund formal existence came into being in

Answer & Solution

47. Based on interest rate parity, the larger the degree by which the foreign interest rate exceeds the UK interest rate, the.

Answer & Solution

48. Which year the Bretton Wood agreement failed?

Answer & Solution

49. A banker's acceptance is a draft drawn on and accepted by an__________.

Answer & Solution

50. Type of bonds which does not have U.S treasury as collateral and are swapped for outstanding loans are classified as

Answer & Solution

Read More Section(International Finance and Treasury)

41.
The primary component of the current account is the.

42.
______________ is (are income received by investors on foreign investments in financial assets securities

43.
LIBOR refers

44.
European currency options can be exercised _; American currency options can be exercised _.

45.
Conditional currency options are

46.
International Monetary Fund formal existence came into being in

47.
Based on interest rate parity, the larger the degree by which the foreign interest rate exceeds the UK interest rate, the.

48.
Which year the Bretton Wood agreement failed?

49.
A banker's acceptance is a draft drawn on and accepted by an__________.

50.
Type of bonds which does not have U.S treasury as collateral and are swapped for outstanding loans are classified as