______ is used to estimate the worthiness of the credit for company, country or any  individual company. .(a) credit evaluation b) Credit rating c) both )

1 Answer

Answer :

b) Credit rating

Related questions

Description : ______ is an isolated function of a credit risk evaluation.(a) Credit rating b) credit evaluation c) both )

Last Answer : (a) Credit rating

Description : _____ is useful in differentiating credit quality. .(a) Credit rating b) credit evaluation c) both )

Last Answer : (a) Credit rating

Description : _____ is a process of evaluating risk associated with the credit instrument.(a) Credit rating b) credit evaluation c) both )

Last Answer : (a) Credit rating

Description : Credit rating is an expression of credit rating agencies regarding debt instrument on a specific date on______. (a) Risk evaluation b) Product c) services)

Last Answer : (a) Risk evaluation

Description : ______ is the opinion of the rating agency on the relative ability and willingness of the issuer of the debt instrument to meet the debt service obligation as and when the arise. (a) merit rating b) credit rating c) rating by merchant banker )

Last Answer : (a) merit rating

Description : The credit default spread method of valuation of a guarantee given by a parent company on behalf of its subsidiary involves estimating the value ____________. a) using credit default spread based on ... guarantor c) based on probability of default d) of the guarantee using an option pricing model

Last Answer : a) using credit default spread based on the credit rating of the subsidiary

Description : The limitations of credit rating include______.(a)Rating changes b) Industry specific c) both)

Last Answer : c) both)

Description : ______ is a privilege of credit card offered to the family members i.e. spouse, parents or children above 18 years of age of the primary credit card holder. (a) Add- plus card b) Add on card c) both)

Last Answer : b) Add on card

Description : An applicant scoring more than ______ point is considered as one with goods credit standing.(a)50 b)70 c) 40)

Last Answer : b)70

Description : Credit Protection is available in ______ a. Without Recourse factoring b. With recourse factoring c. None of the above

Last Answer : a. Without Recourse factoring

Description : Typical parameters used in quantitative methods to estimate discount for lack of marketability include ____________. a) duration of the restriction and risk of the investment b) return of the investment c) dividends paid

Last Answer : a) duration of the restriction and risk of the investment

Description : In case of valuation of firms for takeovers, which of the following provides a better estimate of value? a) Cash flows b) Free cash flows c) Future cash flows d) Free cash flow to equity

Last Answer : d) Free cash flow to equity

Description : valuer should not use or divulge to other clients or any other party any confidential information about the ______ company. a) subject b) client c) public d) listed

Last Answer : a) subject

Description : Underwriters build up ______ confidence in the issue of securities. a. Borrowers b. Investors c. Company

Last Answer : b. Investors

Description : During a merger and acquisition transaction, the ability to find and use good comparable data for a valuation is relatively ____________. a) easy because each successful company within an industry ... depth, product diversity and access to lines of credit seldom match the company being valued

Last Answer : d) difficult because size differential, management depth, product diversity and access to lines of credit seldom match the company being valued

Description : The degree of agreement amongst individual results is termed as? A. Specificity B. Precision C. Accuracy D. Sensitivity

Last Answer : B. Precision

Description : Membership of ________ can be taken by an individual, Registered Partnership Firm, Corporate or bank. a. SEBI b. RBI c. MSEI

Last Answer : c. MSEI

Description : The credit ratings are expressed as____.(a) Alphabetical b) Alpha numerical c) both)

Last Answer : b) Alpha numerical

Description : Methods of consumer credit scoring are______.(a) Specific Fixed Formula b)Machinery risk formula c) Both)

Last Answer : c) Both)

Description : If the aggregate fair market value of prescribed movable property received by a taxpayer as gift during the year is Rs.1,50,000, tax will be charged on ______. a) Rs.1,00,000 b) Rs.50,000 c) Rs.1,50,000 d) Rs.0

Last Answer : c) Rs.1,50,000

Description : The collar of a floating-rate bond refers to the minimum and maximum ______. a) call periods b) maturity dates c) coupon rates d) yields to maturity

Last Answer : c) coupon rates

Description : If interest rates are expected to increase, the coupon payment structure most likely to benefit the issuer is a ______. a) step-up coupon b) inflation-linked coupon c) put option d) cap in a floating-rate note

Last Answer : d) cap in a floating-rate note

Description : Budget card requires monthly payment on behalf of that ______.(a) holder b) banker c) seller)

Last Answer : (a) holder

Description : ______ refers to the transfer of management control by creating a separate business by separating it from their existing owner.(a) Buy Out b) Buy in c)

Last Answer : (a) Buy Out

Description : ______ refers to financing of an enterprise which has overcome the highly risky stage and have recorded profit but cannot go public, thus needs financial support. (a)Venture capital b) development capital c) seed capital)

Last Answer : b) development capital

Description : Buying low in one market and selling high in the other market , it called ______ a. Arbitrage trading b. Hedging c. Clearing

Last Answer : a. Arbitrage trading

Description : ______ Banks help to revive (cure) sick industrial units. a. Public b. Merchant c. All

Last Answer : b. Merchant

Description : ______ __ services are mainly provided to foreign investors. a. Custodial Services b. Financial Services c. Factoring Services

Last Answer : a. Custodial Services

Description : ______ is a market for financial assets which have a long or indefinite maturity. a. Financial market b. Capital market c. Money market

Last Answer : b. Capital market

Description : ___________ is the risk that an issuer will fail to satisfy the terms of the agreement with respect to the timely payment of interest and principal. a) Default risk b) Credit spread risk c) Volatility risk d) Downgrade risk

Last Answer : a) Default risk

Description : Credit card facility is an excellent example of revolving credit_____(a) Cash credit b) secured credit c) revolving credit)

Last Answer : c) revolving credit)

Description : Under forfaiting the client is able to get credit facility to the extent of_______ a. 100% of the value of the export bill b. 80% of the value of the export bill c. 90% of the value of the export bill

Last Answer : a. 100% of the value of the export bill

Description : The availability of cash and other cash like marketable instruments that are useful in purchases and investments are commonly known as _______ a. Liquidity b. Credit c. Marketability

Last Answer : a. Liquidity

Description : Ability of a customer to pay for good bought on credit is called 1. goodwill 2. credibility 3. credit worthiness 4. reputation 5. None of these

Last Answer : credit worthiness

Description : Solvency ratio indicates----------------- a) Credit worthiness b) Activity c) Profitability d) None of these

Last Answer : a) Credit worthiness

Description : Under the SEBI (Share Based Employee Benefits) Regulations, 2014, appreciation means the difference between the ______________. a) market price of the share of a company on the date of exercise of stock ... a company on the date of exercise of share appreciation right (SAR) and the SAR price.

Last Answer : market price of the share of a company on the date of exercise of stock appreciation right (SAR) or vesting of SAR, as the case may be, and the SAR price.

Description : A Tribunal makes an order under section 230 of the Companies Act, 2013 sanctioning a compromise or an arrangement in respect of a company. In this context, strike the odd one out: a) It will ... . c) It can modify the order or compromise. d) It can ask for creditors' responsibility statement.

Last Answer : d) It can ask for creditors’ responsibility statement.

Description : Which of the following statements is true? a) Debenture holder is an owner of the company. b) Debenture holder can get back its money only on the liquidation of the company. c) A debenture issued ... can be redeemed at a premium. d) A debenture holder receives interest only in the event of profits

Last Answer : c) A debenture issued at a discount can be redeemed at a premium.

Description : XYZ company has 50 lakh shares outstanding and plans to raise Rs.20 lakh by offering 10 lakh shares at Rs.2 per share. What is XYZ's post-money valuation? a) Rs.1.20 crore b) Rs.1 crore c) Rs.50 lakh d) Rs.2 crore

Last Answer : a) Rs.1.20 crore

Description : Relief-from-royalty method estimates the value an asset based on the value of the royalty payments __________. a) from which the company is relieved due to its ownership of the asset b) made by the ... by the company from the useful life of the asset d) over and above the internal rate of return

Last Answer : a) from which the company is relieved due to its ownership of the asset

Description : Which of the following describes the main purpose of corporate governance? a) Establish short-term strategic objectives for a company. b) Ensure collective strategic decisions for a company. c) ... and prudent management of a company. d) Establish and monitor the operating parameters for a company

Last Answer : c) Facilitate effective, entrepreneurial and prudent management of a company.

Description : A_________ include the following call for periodical report from the company. a. Underwriter b. Shareholder c. Debenture trustee

Last Answer : c. Debenture trustee

Description : An ________relieves the company of the risk and uncertainty of marketing the securities. a. Underwriter b. Shareholder c. Banker

Last Answer : a. Underwriter

Description : “Prospectus” is the most important document for the Company to come out with a ______issue. a. Private b. Public c. Company

Last Answer : b. Public

Description : The central theme of forfaiting is the purchasing of ________by a financial service company. d. Trade bill e. Export bill f. Import bill

Last Answer : e. Export bill

Description : NBFC is a company registered under _________. a. The Indian Contract Act b. The Companies Act, 1956 c. The RBI Act

Last Answer : c. The RBI Act

Description : When attempting to build a risk premium into the required returns of stocks in a developing country, an analyst should use the ________. a) country spread model b) country's weighted average cost of capital c) modified Gordon growth model d) dividend discount model

Last Answer : a) country spread model

Description : _____ is the stages when commercial manufacturing has to commence.(a) Start Ups b) second round finance c) both )

Last Answer : (a) Start Ups

Description : _____stages is an ‘applied research’ phase.(a) venture capital b) seed capital c)both)

Last Answer : b) seed capital

Description : Features of venture capital includes ____.(a) high risk b) high technology c)both)

Last Answer : c)both)