Post Session Quiz - Introduction To Money Market

6 Questions | By Anurag_quiz | Last updated: Mar 20, 2022 | Total Attempts: 202

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1.

The money markets are used for which of the following?
- A.
  
  Long-term borrowing
- B.
  
  Short-term borrowing
- C.
  
  Both long-term and short-term borrowing
2.

Which of the following transactions are NOT carried out in the money market?
- A.
  
  Buying or selling government bonds
- B.
  
  Buying or selling stocks
- C.
  
  Buying or selling deposits
- D.
  
  Borrowing or lending short-term funds
3.

Central banks are not permitted to participate in the money market.
- A.
  
  True
- B.
  
  False
4.

Which of the following represents the time-span associated with money market transactions?
- A.
  
  One year or less
- B.
  
  One to 10 years
- C.
  
  10 years or more
5.

A receipt is issued by a bank to a depositor to acknowledge money deposited. The bank guarantees to repay the principal plus interest at maturity.The receipt could be sold in the Market at a price. The above definition refers to which of the following?
- A.
  
  Call deposit
- B.
  
  Certificate of deposit
- C.
  
  Fixed deposit
- D.
  
  Bankers Acceptance
6.

Which one of the following instruments is used in trade finance to make the process of payment for goods more efficient?
- A.
  
  Bills of exchange
- B.
  
  Commercial paper
- C.
  
  Repos

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