Q.

NoQuestion
1 Economy analysis is the first stage of fundamental analysis
2A detailed report that explains a lot of things about the company initiating coverage
3A sell-side analyst job is very much about marketing __________
4Research is based on logical reasoning
5The performance of a company depends on the performance of the economy.
6 There are four phases through which every industry has to pass
7 balance of payment is a measure of the strength of rupee on external account
.8 An industry is generally described as a homogenous group of companies
9 EPS are very important tool of fundamental analysis
10 Technical analysis is the forecasting of future financial price
11The purpose of equity research is to find out the intrinsic value of an asset
12 Refrigerator is an example of cyclical industry
13Only the fittest companies survives pioneering stage
14 Industries and companies prosper during times low inflation
15* Indies are practitioners who are not employed by either brokerage firms or mutual/pension
funds.false
16A business model is a company's plan for how it will generate revenues.
17The manufacturer business model utilizes raw materials to create a product to sell.
18The organization’s leadership is able to provide direction and strategies to ensure the
organization’s goals are achieved
19A SWOT matrix is usually depicted as a square divided into four quadrants
20A Contractor sells a service provided primarily by people to a customer
21There is a need to be able to adapt the right business model for a business to be
successful and popular
22 delisting is the removal of security that is listed on a stock exchange.
23 bonus issue is an offer of free additional shares.
24 pestle analysis is essential for an organization before beginning its marketing process.
25 dividend yield is useful for determining the percentage return a company pays in the form
of dividends.
26 Dogs represent businesses having weak market shares in low-growth markets.
27Cash cows require little investment. True
28 SCP was developed by Joe S. Bain Jr.B in 1959
29 Supplier Power is the ability of suppliers to driven up the prices of your inputs
30 Equity Research Analyst duty is to evaluate of financial data for a sector or geographical
zone
31 research creates a path for generating new questions
32 Research objective define the scope of the study.
33 Top-down and bottom-up equity research are two complete strategies for stock-picking.
34 blue-chips stocks are considered safe and stable.
35 A beta value over 1 means the stock is more volatile than the market. true
36 knowledge of excel is one of the quality for an equity research analyst.
37 Research analyst offer recommendation to investors to buy or sell particular stocks.
38 After Market closes analyst should capture the market movement of the company.
39 Sell-side analysts never issue recommendations "strong buy," "outperform," "neutral," false
40 A deficit budget may lead to high rate of inflation .
41 The performance of agriculture to a very great extent depends on the monsoon
42 Rivalry among competitors is intense when competitors are of large .
43 The _______of Toyota’s supplier is weak.
44* Customers exert strong bargaining power when customers are cost is high .
45 Service-based websites like Netflix and Amazon Prime is an example of a subscription
business model .
46 Apple iPhone is an example of value proposition
47 Louis Vuitton enjoys significant pricing power.-------
48 Vendors and lenders are good source for gathering information about market.
49 Firms selling commodity products have no pricing power whatsoever and must accept
market prices.
50* The top trends in the digital age included Crypto currencies

1 shareholder’s funds refers to the amount of equity in a company.

2 A business model is a plan implemented by a company to generate revenue and make a
profit.
3 flash reports are quick 1-2 page reports that comment on a new release from the company.
4 A good research procedure must be according to _______.
5 leading indicators helps the investor to predict the path of the economy
6 financial statement of a company are evaluated to determine the financial soundness of the
company.
7The development of an economy depends very much on the infrastructure available
8* Defensive industry defines the movement of the business cycle. True
9 P/S = Market Cap / revenue
10 Strength of Technical Analysis is Focus on Price true
11 quantitative research focuses on numbers
12 fees based equity research reports are funded by companies.
13 In rapid growth stage the growth rate is more than the industry’s average growth rate.
14 high rates of inflation in an economy are likely to affect the performance of companies
adversely.
15 Analyst should not discuss with clients for any explanation of research. False
16 A business model is extremely important to ensure a business is set up properly and runs
smoothly
17 Under a franchise business model business owners purchase another organization's
business strategy
18 The single most important decision in evaluating a business is pricing power
19 threats can be external or internal, and are anything which can adversely affect the
business.
20Every business requires some form of investment .
21 corporate actions are agreed upon by a company's Board of Directors
22 In a spinoff , a company segregates certain assets into a separate entity.
23 Savvy investors may compare EPS and Revenue.
24 BCG Matrix is a four celled matrix.
25 Technical analysis can help with timing a proper entry point.
26 True nature of business may not be reflected by BCG matrix
27 stars represent business units having large market share in a fast growing industry.
28 The SCP paradigm is considered a pillar of industrial organization theory
29 The threat of substituions is the extent to which different products and services can be
used in place of your own.
30Equity Research Analyst duty is to study economic trends and developments in stock
markets. True
31 accuracy is one of the important characters of research.
32More research opportunity can be generated from existing research. True
33 top-down equity research gives you wider perspective.
34 beta stocks calculates the volatility (Risk) in share price.
35A beta value below 1 means the stock is less volatile than the market
36To be adaptive to sudden changes is one of the quality of an equity research analyst.
37Media Companies are one of the sector where in Equity Research Analyst are hired.true
38 Every research report is required to have a disclaimer than discloses
39 When a client makes a decision to trade stock the brokerage gets a commission on the
transactions
40 Surplus budget may result in deflation .
41 A stable political environment is necessary for steady and balanced growth.
42 Fast food restaurant market is _______ so McDonald's faces tough competition.
43 Threat of new entrant is________ as existing companies can do little to retaliate
44 Manufacturing companies in India are Larsen & Toubro,Apollo Tyres, Bombay Dyeing etc.
true
45 peer-to-peer business model makes money through commissions.
46 Google has a _______ when it comes to make money from advertisement globally.
47Cruelty free cosmetics are examples of _______
48 SWOT Analysis is done as part of the overall corporate planning process.
49 business trends can easily be divided into Pre-Digital age and Digital age.
50 Companies have to comply with accounting standards notified under section 133

1 Macroeconomics is concerned with how the overall economy works

2Check for the industry’s past and present trends true
3.industry report covers topics like recent trends in the industry, updates on the recent
regulations, competitors, etc
4 A good research procedure must be reproducable in nature
5 The coincidental indicators indicate what the economy is
6 industry analysis considers global prospective
7 Second step in research problem is to dissect the broad areas into subareas.
8 The industry life cycle theory is generally attributed to julius grodensky
9 P/B = share price / Book value per share
10 technical analysis has been criticized for being too late
11 The investment banks and major brokerage firms generally focus on large-cap
12 *fee-based reports are available free of cost to the investors.
13The investors have to closely monitor the events that take place in the maturity and
stabilisation stage
14 The interest rate in the organised sector of the economy are determined by the monetary
policy
15.Analyst should communicate buy / sell recommendations of stocks to their clients.True
16 A company's business model is a representation of its core business practices.
17 Management Quality is an organizational concept
18 The freemium business model is common for companies that offer personal or business
services via the Internet
19 Weaknesses are areas capable of improvement.
20 SWOT Analysis is done as part of the overall corporate planning process.
21 earnings are an important indicator of company health.
22 merger is the combination of two companies to form one
23Troubled companies typically use right issues to pay down debt
24The Structure-Conduct-Performance analysis is based on a model of cause and effect .
25 Investors and traders use line chart to consider the closing level.
26 )question marks represent business units having low relative market share located in a
high growth industry.
27 If successful, a star will become a cash cow when the industry matures. True
28competitive rivalry looks at the number and strength of your competitors.
29In the pioneering stage prospective demand for the product is promising and technology of
the product is low.
30 The research report should begin with some basic information about the firm
31 researchers need to practice ethics and code of conduct.
32 research is an original contribution to the existing stock of knowledge making for its
advancement.
33The Top-down equity research process consists of economic analysis
34 higher the beta, greater the volatility
35SEBI’s primary functions include protecting investors interest.
36 writing skills is one of the pre-requisite qualities of an equity research analyst.
37 KPO’s are one of the sector where in equity research analyst are not hired.false
38 A buy-side analyst is much more concerned about being right than a sell-side analyst is
39 Indies provide research that is untainted by investment banking deals.
40 Balanced budget is highly unfavorable to the stock market false
41 The central theme in economic forecasting is to forecast the national income
42 Suppliers have strong bargaining power when ________ raw material exist.
43 Entry of Reliance JIO Telecommunications is an example of ________.
44 Zoom is an example of freemium Business.
45 bricks and clicks model allows the user to order products online but lets them pick up their
order at a local store
46 Starbucks is an example of franchise
47 Governmental regulation and enforcement is typically reactionary in nature.
48 threats can be external or internal, and are anything which can adversely affect the
business
49 pre-digital age included Radio Advertisement.
50 current asset have a lifespan of one year or less.