Question 1” ‘Not yel answered Marked out of 1.00 FP Flag question When a bidder proposes to purcliase the target company’s stock at a fixed price above the current market price is know: as Select one: * a. tender offer b. open market ¢. proxy fight d. negotiation Question 2 Not yet answereg Marked out of 1.00 ¥ Flag question MeeQuestion 2 Nol yet answered Marked out of 1.00 'P Flag question When a business hold in order to be ina position to exploit profitable opportunities as and when the need arise, it is referred to as ... motive of holding money. Select one: © a. Speculative b, Financial ¢, Transitionary d. Precautionary Question 3 Not yet answered Marked aut of 1.00 Y Flag questionQuestion 3 Not yet answered Marked out of 1.00. & Flog ques Ordinary shares in limited companies Select one: a. have a limited life, and v and receive dividends ting rights b. have an unlimited life, and voting tights but receive no divide: ¢. have @ limited life, with no voting tights but receive dividends © d have an unlimited | €, and voting rights and receive dividends Question 4 Not yet answered Marked oul of 1.00 F Flag question“4 Not yet answered o Marked out of 7.00 F Flag question Issuing a new class of stock to existing stockholders which has high voting rights but low dividends or marketability (uninteresting to sell). Usu by an optio: accompanied cony into ordinary commen stock after some time. Select one: a. Staggered Board b. Super-may rity ¢. Golden Parechute Ce) d, Dual-class Fecapitalization Question 5 Not yet answered Marked out of 1.00 ¥ Flag questionQuestion 5 Not yet answered Marked out of 1.00 & Flag question Anti-takeover measures often adopted by the target companies is knewn as Select one: & a. Shark Repellents b. Hostile takeover actions c. Takeover barriers d. Defensive Ons ie page | * CLEAN UP OF TITE BANKING Jump to., ” tinecQuestion 6 Not yet answered Marked out of 1.00 {F Flag question There is a relationship betwee return: Select one: a. when risk decreases, return increases b. when risk decreases, return is unchanged 4) ey, Gwhenr increases Acreases, return d. when risk increases, return decreases Question 7 Not yet answered Maan aah son.Question 7 Not yel answered Marked out of 1.00 P Flag question In Ghana, the mini central bark to all the rural and community banks and their operations is the Select one: @ a. ARB Apex Benk b. Bank of Ghana c. All of the above d. Ministry of Finance Question B Not yet answered Marked out of 1.00 ¥ Flag questionQuestion B Not yel answered Marked out of 1.00 F Flag question Individuals or companies tha! prefer loy-risk, low-return investments are: Select one: a. risk neutral b. risk-lowing ©) c. risk-averse d. risk-taking Question 9 Not yet answerec: Marked out of 1.00 Flag question It involves the development o! new financial products or services; and the introduction of mnie RAeeSS QoMA inter ania Cearn What Canal10 Not yel answered Ques Marked aut of 1.01 F Flag question Which of these are features of Bond? .LResidual claim .ii, Maturity iii Ownership lv.Current Yield .v.Yield to Maturity .vi.Duration Select one: b. i, ii, iv, v, vi @) c. ii, iv, y, vi d. i, ii, iii, iv, v, vi Previous pave ) ( Ns Page CLEAN UP OF THE BANKINGstion 9 Not yet answered Marked out of 1.00 & Flag question Itinvolves the development of new financial products or services; and the introduction of new processes or delivery systems thal tend to reduce the costs and risks or provide an improved service that meets ‘he needs of Participants in the financial n Select one: a. Financial intermedia! ion b. Financial deepening c. Financial innovation d. Financial inclusion Question 10 Not yet answered Marked out of 1.00 P Flag questionQuestion 12 Nol yet answered Marked out of 1.00 F Flag question Assume you work at IDL Limited and earn a monthly salary of GHS 1,500. A bag of rice is worth GHSS5O at the beginning of the year Now assume that you purchase Government of Ghana Treasury bills with your salary of GHS 1,500 ai the beginning of the year at an interest rate of 20%. The price of a bag of fice rises to GHS 59 by the end of the year. How many bags of rice can you buy at the end of the year with your investment amount if the price stay at GHS50? Select oneCe. Question 11 Not yet answered Marked out of 1.4 '¥ Flag questicr The stocks or shares that are sold to investors without transacting through financial institutions are classified as Select one: a. indirect transfer b. direct transfer c. pension transfer d. global transfer Question 12 Not yet answered Marked out of 1.00 ¥ Flag questionQuestion 13 Not yet answered Marked out of 1.00 P Flag question Identify the features of a Primary Market .i.It is the new issue market iit is the market for old securities .iii.Only buying of securities takes place iv.Both buying and selling of securities lakes place v. Prices of the securities are determined by the forces of demand and supply .vi. Prices of securities are determined by the company vii. It involves dealings between the company and investors viii. It involves dealings between the two investors Select one Wh T ace iss 4. til, Vi, vy, vii boii, iv, vil C4 ui ivy \s) Gi, ili, vi, viiQuestion 14 Not yet answered Marked out of 1.00 Flag question ~% If the reserve ratio is 20%, what is the money multiplier? Select one: a4 Os c. 20% @ 4020 Question 15 Not yel answered Marked out of 1.00 Flag questionQuestion 15 Not yet answered Marked out cf 1.90 % Flag question Islamic finance: Select one: a. is available only in Muslim countries b. views money as a store of value c. allows interest to be paid on loans *° — d. does not allow interest to be paid on loans ED * CLEAN UP OF THE BANKING Jump to o SLIDES >Question 16 Not yet answered Marked out of 100 © Flag question The type of bonds in which there are many maturily dates and part of issue is ;aid off at every maturity date is considered a Select one a. pledged bonds b. parallel bonds © cc. serial bonds d. series bonds Question 17 Not yet answered Marked out of 1.00 ¥ Flag questionQuestion 17 Nol yet answered Marked out of 1.00 & Flag question Contracts given to key executives pioviding them with substantial benefits in the event that the company is taken over by another firm and the executive is terminated 2s a result of the merger or takeover Select one: a. Super-majority b. Dual-class Recapitalization © — ¢ Golden Parachute d. Staggered Board Question 18 Not yet answered Marked out of 1.90 P Fiag questionQuestion 18 Not yet answered Marked out of 1.00 F Flag question Companies that collects funds from companies and individuals and invest in portfolios of assels are classified as Select one a. penalty funds ® b. mutual funds c. activity funds d. financing funds Question 19 Not yet answered Marked out of 1.00 F Flag question Beacon Ltd. isa large creditworthy c ompanyBeacon Ltd. is a large creditworthy company Operating in Accra. It is an export-oriented unit, dealing in exclusive embroidered shawls. The floods in Accra have created many problems for the company. Many craftsmen and workers have been dislocated and raw material has been destroyed. The firm is therefore, unable to get an uninterrupted supply of raw materials and the duration of the production cycle has also increased. To add to the problems of the organisation, the suppliers of raw materials who were earlier selling on credit are asking the company for advance payment or cash payment on delivery. The company is facing a liquidity crisis. The CEO of the company feels that taking a bank loanis the only Option with the company to meet its short- term shortage of cash. As a finance manager of the company, what is the alternative to bank borrowings that the company can use to resolve the crisis Select one: ° a. Commercial paper b, OverdraftQuestion 20 Not yet answered Marked out of 1,00 'F Flag question Assume you work at IDL Limited and earn a monthly salary of GHS 1,500. A bag of rice is worth GHSS50 at the beginning of the year Now assume that you purchase Government of Ghana Treasury bills with your salary of GHS 1,500 at the beginning of the year at an interest rate of 20%, The price of a bag of rice rises to GHS 59 by the end of the year. How many bags of rice can you buy at the end of the year with your investment amount at the end-year price of GHS59? Select one: ° 230.5 b.25 c. 36 d. 30Question 22 Not yet answered Marked out of 1,00 F Flag question “ssn GMs to influence variables such as the rate of interest and the money supply in order to achieve targets set, such as targets for the rate of inflation. Select one a. External trade policy b. Fiscal policy c. Monetary policy d. Exchange rate policy Question 23 Not yet answereq Marked out of 00 P Flag questionQuestion 24 Not yet answered Marked out of 1.00 © Flag question Dividends are: Select one: ° a. not allowable for corporation tax b. not paid to preference shareholders ©. not paid to ordinary shareholders d. paid to lenders Question 22. Not yet answered Marked out of 1.00 YP Flag questionQuestion 23 Not yet answered Marked out of 1.00 % Flag question A bidder may initiate a hostile takeover through the following except: Select one: a. open market © b. negotiation c. proxy fight d. tender offer Question 24 Not yet answered Marked out of 1.00 Flag question Loans to limited companies: Oalaae anneOuest on 25 Not yet answered Marked out of 1.00 ® Flag question A provision that requires @ high percentage of doard vote in order to approve @ merger (usually 80%). Select one: a. Dual-class Recapitalization © — b, Super-majority c. Golden Parachute d. Staggered Board Previous page hy Ber « CLEAN UP OF THE BANKING Jump to... o EsQuestion 24 | Not yet answered | Marked outof 1.00 ¥ Flag question Loans to limited companies: Select one: a. have a fixed term and receive interest which is not allowable for corporation tax, but have no voting rights © b. have a fixed term and receive interest which is allowable for corporation tax, but have no voting rights c. do not have a fixed term but receive interest which is allowable for corporation tax, and have voting riglits d. do not have a fixed term and receive interest which is allowable for corporation tax, but have no voting rights Question 25 Not yet answeredQuestion 1 Not yet answered. Matked out of 1.00 P Flag question When a bidder proposes to purcliase the target company’s stock at a fixec price above the current market price is know: as Select one ° a. tender offer b. open market C. proxy fight d. negotiation Question 2 Not yet answered Marked out of 1.00 Y Flag question MA rei ele meres Gack atacend iceQuestion 21 Not vei answered Marked out of 1.00 Flag question Dividends are Select one * a not allowable for corporation | +x b. not paid to preference shareholders ©. NOt paid to ordinary shareholders d. paid to lenders Question 22 Not yet answered Marked out of 1.00 F Flag questionQuestion 22 Not yet enswered Marked out of 1.00 & Flag question some JIMS to influence variables such as the rate of interest and the money supply in order to achieve targets set, such as targets for the rate of inflation Select one a, External trade policy b. Fiscal policy c. Monetary policy d. Exchange rate policy Question 23 Not yet answered Marked out of 1.00 Flog questionQuestion 23 Not yet answered Marked out of 1.00 F Flag question A bidder may initiate a hostile takeover through the following except. Select one a. open market ® — b. negotiation c. proxy fight d. tender offer Querton 24 Not yet answered Marked out of 100 F Flog question Loans to limited companies onQuer 24 Not vei answered Marked out of 100 F Flog question Loans to limited companies: Select one Quest a. have a fixed term and receive interest which is not allowable for corporation tax, but have no voting rights b. have a fixed term and receive interest which is allowable for corporation tax, but have no voting rights c. do not have a fixed term but receive interest which is allowable for corporation tax, and have voting rights d. do not have a fixed term and receive interest which is allowable for corporation tax, but have no young nights 126 Not yet answeredQues 25 Not yet answered Marked out of 1.00 & Flog question A provision thal requires a high percentage of board vote in order to approve a merger (usually 80%) Select one a, Oual-class Recapitalization © — b. Super-majority c. Golden Parachute d, Staggered Board Previous page} <— CLEAN UP OF THE BANKING Jump to oQues'on 26 Not yet answered Marked out of 100, F Flog question Assume you work at IDL Limited and earn a monthly salary of GHS 1,500. A bag of lice is worth GHS50 at the beginning of the year Now assume thal you purchase Government of Ghana Treasury bills with your salary of GES 1,500 at the beginning of the year al an interest rate of 20%. The price of a bag of rice rises to GHS 59 by the end of the year. Wr at is the real interest rate? Se!ect ane ea. 1.69% b. -3% ©. 2% dd. 1B%Question 28 Not yet answered Marked out of 1.00 F Flag question The essence of regulating financial markets is to .j, Protect investors, .li. Prevent securities issuers from defrauding investors and hiding important regulation. ill Establish price control mechanisms iv Promote competition and fairness in the trading of financial securities, .V. Restrict the level of activities of foreign entities in the local markets Select one a i, ii, tii, iV ® pb tijivy d. i, iii, ivGuestion 34 Not yet answered Marked out of 100 ® Flag question The centralized market place where agents can efficiently and quickly trade in securities is classified as Select one: ® a, secondary markets b. traded markel c. central market d, agents market Question 35 Not yel answered Marked oul of 1,00 YP Flag question Financial intermediaries that make loanswon 29 Not yet answered Que Marked out of 1.00 ® Flag question Off-Site Supervision of RCBs includes the following except Select one a. Large Exposure (Advances and Deposits) b. Liquidity Reserve Return ® ¢ Visiting the rural bank d. Statement of Assets and Liabilities question 30 Not yel anaweted Marked out of 1.00 Y Flag question Which of these are classified as the advisory ——=—— llQuestion 31 Not yet answered Marked out of 1.00 © Flag question The markets in which ansactions are done through computers and telephone without any specific location are classified as Select one: a. capital counter market b. future counter market c. e-market © d over the counter markets Question 82 Not yet answered Matked out of 1.00 F Flay question After doing a course in online trading,Question 30 Not yet answered Marked out of 100 F Flag question Which of these ere classified as the advisory role of the investment banker? i.preparing the necessary registration documents, LiL help in distributing the issue to the general public. Ji.timing the issue .iv. underwriting .v establishing the right price for the issue Select one ea inline, b. i, ili, ¥ CIM, dil, iy, ¥, — Previous pageQuestion 35 Not yet answered Marked out of 1.00 P Flag question Financial intermediaries that make loans available and accept long term and short term debts for funding are considered as Select one: a. investment companies b. activity institutions © ¢. finance companies d. mortgage companies = CLEAN UP OF THE BANKING >Question 33 Not yet answered ‘Marked out of 1.00 y y Question Internal sources of finance do not include Select one a trade credit © b ordinary shares c. betler management of working capital d. retained earnings Question 34 Not yet answered Marked out of 1.00 F Flag question . The centralized market place where agents can efficiently and quickly trade in < 2curtrading under the name ‘nvestnent Gur He met his school fiend Akua alter a loug time in a bank where Akua had come to oper an investment account Kwanie urged Aenea 1g PO of a ble Akua was Incliied to invest in the furthearr chip companies wher to buy existing securities of the other companies to build her investment portico In context of the above case, identify the [v0 different types of capital market being referred to.e case. .. Secondary Market “akua was inclined to buy existing secufilies of the other companies to build het investment portfolio” 11 Secondary Market “Kwame urged Akua to Invest In the forthcoming IPO of a bluechip compa! nes” iii, Primary Market: “Akua was inclined to buy existing securities of the other companies to build her investment port ollo iv. Primary Market: “Kwame urged Akua to invest in the forthcoming IPO of a blueciiyy companies.” Select one ai, ti b. ii, iv chiduestor 40 Not yer answered Marked oul of 1.00 & Flag question roups will gain as 4 ectaling against encies? Which of the following g Ghana cedi apor result of the al trading curt the major internation Select one a. Exporters ©. Importers c Bank of Ghana d. Small scale businesses age } / + CLEAN UP OF THE BANKING ” Jump to.Our tion 27 Nol yet answered Marked out of 1.00 ¥ Fieg question The first rural bank was established in Ghana in 1976 was Select one: a. Central Rural Bank Ltd b. Nyakrom Rural Bank Ltd @ ¢ Agona Nyakrpm Rural, Bank Ltd d. Agona Rural Bank Ltd Ouection 28 Not yel answered Marked out of 1.00 YP Fiag question The essence of regulating financial markets ieta i Pratectinvestars fi PreyentQuestion 37 ted Not yet ans Morked out of 1.90 F Flag question A shareholder purchased 7,000 shares I0 SUG Co on 7 January at @ market price of GHe2.50 per share. On 3ipecember the shares had a market value of GH¢2 32 pe! yt share. The dividend paid during the perio’ was GH¢0.27 per share What is the jotal shareholder return? Select one. a. 10.8% b. 20.9% Question 3B Not yet answered Marked out of 1.60Question 39 Not yel answered Marked out of 1.00 F Flag question al paper and plance, commerch sified as Bankers acce| repurchase agreements are clas: Select one a, capital market instruments © b money market insturnents. e. counter Instruments long term instruments Question 40 Not yet answered Marked out of 1,00 Flag question Which of the following groups will gain as a result of the Ghana cedi appreciating againstQuestion 38 Not yet answered Marked out of 1.00 F Flag question Dividing the terms of the board members into several levels (usually 3), and only 1 level is elected periodically in order to make it harder for the hostile bidder to gain control of the target company’s board. Select one: © a, Staggered Board b. Super-majority c. Golden Parachute d. Dual-class Recapitalization Question 39 Not yet answered Marked out of 1.00 F Flag questionQue-ton 36 Not yel answered Marked out of 1.00 © Flag question sizatiot Short-term financial needs of anorgal can be referred to as Select one a. Shor-term 62 pital management © b. Working capital requirement c. Capital budgeting d. Bootstrapping ction 37 Not yet answered Ou Marked aut of 1.00 F Flag question A shareholder purchased 1,000 shares in Pinna eee oeQuestion 2 Nol yet answered Marked out of ) Ou F Flan question When a business hold in order to ve ma position to exploit profitable opp: rlunities as and when the need arise. iti ‘red to as motive of holdin ey Select one: ° a. Speculative b. Financial ¢. Transitionary d Precautionary Question 3 Not yet answered Marked out of 1.00 Y Fiog questionQuestion 3 Not yet answered Marked out of 1.0 © Flag question Ordinary shares in limited compomes: Select one: d voting nghts a. have a limited life, and receive div b. have an unlimited life, and voting rights bul receive no dividends ¢, have a limited life, with no voting tights but rec: vidends * dg have anunlimited life, and voting fights and receive divide Question 4 Not yet answered Marked out of 100 ¥ Flag questionNot yet answered Marked out ot | Ou F Flag question Anlitakeover measures often adopted by the target companies is knowa as Select one fe (8 a. Shark Repe! at b. Hostile takeover actions G. Takeover barriers d. Detensive actions ™ CLEAN UP OF 741 BANKING Jump toer | Notyet answered Marked oun of 1.00 FP Ragquesticn Issuing a new c! to ex1 stockholders lich has High voting but low dividends cr mark ability (uninteresting to sell), Usually by an option to convert ompanied into ordinary ¢ lume. Select one: 4. Dual-class fie Pitalization oS Not yet answe: Marked out of 7 OL F Flag questionQuestion B Not yor answered Marked out af | | F Flag question Individuals ¢ companies the! prefer low-risk, low-return investments are Select one ausk raul b. risk loving c. risk-averse dg, risk taking Question 9 Not yet answerec Marked out of 100 Flag question It Involves the development « w financial products or services; and the troduction of7 Nol yel answered Quest Marked out of } | © Flag question In Ghana, the mint central bar to all the rural and community banks and their operations ts the Select one ¢ *) a. ARB Apes Bonk b. Bank of Ghana c. All of the sbove d. Ministry o° Finance Question B Not yet answered Marked out of 1.00 © Flag questionFlag question There ts a return’ Hsfin between risk and Select one: a. when risk decreases, return Increases ESfedses, return is ©) c.when tisk increas increases d. when risk in etun decreases Not yet answerea Mined neal y anGuestion 9 Not yet answe: Marked out of 1 OL Flag question Itinvolves the development of new financtal products or services; and the introduction of new processes or delivery systems thal tend to reduce the costs and risks or provide an improved service that meets ‘He hi sof participants in the financial n x Select one a. Finencial intermedia b. Financial deepening ) ke c. Financial innovation d, Financial inclusion Question 10 Not yet answered Marked out of 5 F Flag questionQuestion 10 Not yet onswered Marked out of 1.01 F Flag question Which of these are features of Sond? i. Residual claim ji.Maturity .iii Ownership av.Current Yield v.Yield to Meturity .Vi.Duration Select one: @. tii, 1), 1V, Vv, vi b. i, ti, iv, v, vi © citinuw doit, ci, ivy vi Previous pase ) + CLEAN UP OF THE BANKINGOvestion 11 Not yet answered Marked out of 1.1) % Flag question The stocks or shares that are sold tc investors without transacting through financial institutions are classified as Select one: a. indirect transfer ® — b. direct transfer c, pension transfer d. global transfer Question 12 Not yel answered Marked out of 1.00ai) Question 12 Not yet answer Marked oul of 1 © Flag question Assume you work al IDL Limited carn a monthly salary of GHS 1,500. A bag of rice is worth GHSS5! at the beginning of the year Now assur of Ghana T hat you purchase Government isury bills with you! salary of GHS 1,500 at the beginning of the year at an interest rate of 20%. The price of a bag of fice rises to GHS 59 by the end of the year. How many bags of rice can you | uy at the end of the year with your inv amount i! the price stay at GHS§ Select one a 30! b. 30tion 13 Not yet answered! Marked out of 111( © Flag question Identify the features of a Primary Market it is the new issue market .ii.1t is he market for old secunties ti, Only buying of securities takes place iv.Both buying and selling of securities tones place v. Prices of the securities aie determined by the forces of demand and supply vi. Prices of securities are determined by the company vii. |! involves dealings between the compe investors vii. It involves dealings bs the two investors ny and ween Select one WL E neg iss alii, vi, vii boy iy vil Coat ih WW \) doi, vi, vilQuestion 14 Not yet answered Marked out ot too F Flag question ~% Ifthe reserve ratio is 20%, what is the money multiplier? Select one ad ©»: c. 20% @ ao2 Question 15 Nol yet answered Marked out of | 00 F Flag question Islamic finaneeQuestion 19 Not yet answered Marked out of 7.00 & Flag questior Islamic finance: Select one: a. is available only in Muslim countries b, views money as a Store of value c. allows interest to be paid on loans © — d. does net allow interest to be paid on loans ( Previous page ) ith ea * CLEAN UP OF THE BANKING Jump to. o SUIOFS —Question 16 Nol yet answered Marked out of 1:00 F Flag question The type of bonds in which there are many maturity dates and part of issue |S jold off at every maturity date Is considered a Select one a. pledged bonds b. parallel bonds * ¢ serial bonds d series bonds Question 17 Not yet answered Marked out of 7.06 ¥ Flag questionoucaton V7 Not yet angweted Marked out of 1.00 ¥ Pag question Contracts qiven to key executives providing them with substantial benefits in the event that the company ts taken over by another firm and the executive is terminated sc 8 result of the merger or takeover Select one a Super-mayjonty b Dual-class Recapitalization ® —¢ Golden Parachute d. Slaggered Board Guestioa 18 Not yet answered Marked out of 1 00 F Flag questionNot yet angveted Marked out of 1 00 & Fisg question Companies that collects funds from companies and individuals and inv portfolios of assets are classified a Select one. @ penally funds * — b mutual funds ¢. activity funds d financing funds Question 19 Not yet answered Marked oul of 100 F Flag question Beacon Ltd. is a large creditworthy ompanyBeacon Lid. is a large creditworthy company Operating in Accra. It is an export-oriented unit, dealing in exclusive embroidered shawls. The floods in Acera have created mony problems for the company Many craftsmen and workers have been dislocated and raw material has been destroyed. The firm is therefore, unable to get an uninterrupted supply of raw materials and the duration of the production cycle has also increased. To add to the problems of the organisation, the suppliers of raw materials who were earlier selling on credit are asking the company for advance payment or cash payment on delivery. The company is facing a liquidity crisis. The CEO of the company feels that taking a bank loan is the only option with the company to meet ils short- term shortage of cash Asa finance manager of the company, what js the alternative to bank borrowings that the company ¢ to resolve the crisis can use Select one ea Commercial paper b. OverdraftNol yet answered Marked out of 100 & Flog question Assume you work at IDL Limited and earn a monthly salary of GHS 1,500. A bag of rice ts worth GHSSO at the beginning of the year. Now assume that you purchase Government of Ghana Treasury bilis with your salary of GHS 1,500 al the beginning of the year at an interest rate of 20%, The price of a bag of fice rises to GHS 59 by the end of the year. How many bags of rice can you buy at the end of the year with your investment amount at the end-year price of GHS59? Select one: * 3230.5 b. 25 c. 36 d 30