SOFQ Online Practice Questions and Answers

The two choices for the settlement method utilised within a securities market are:

A. 'Account Settlement1 and Tumbling Settlement'

B. Tumbling Settlement' and 'Continuing Settlement'

C. 'Continuing Settlement'and'Account Settlement'

D. 'Rolling Settlement' and 'Account Settlement'

The physical substances of natural gas/ barley and zinc fall within the following financial heading:

A. Cash

B. Derivatives

C. Commodities

D. Securities

The 3 largest centres for foreign exchange trading are:

A. US, 2) Japan, 3) UK

B. Hong Kong, 2) UK, 3) US

C. US, 2) Singapore, 3) UK

D. UK, 2) US, 3) Singapore

On a scale of 1,500,000 Microsoft Corporation shares at a price of USD 3.78 per share, the SEC Fee payable is::

A. USD 1.89

B. USD 18.90

C. USD 189.00

D. USD 1890.00

The US regulator 'SEC stands for:

A. Securities Exchange Corporation

B. Securities Enterprise Conglomerate

C. Securities and Exchange Commission

D. Securities Endeavour Company

The price of a bond trade which excludes accrued interest is known as:

A. A dirty price

B. A fresh price

C. A clean price

D. A cloudy price

A bond which pays no interest during its lifetime sand repays capital on its maturity date is known as:

A. A zero interest bond

B. A nil interest bond

C. A zero coupon bond

D. A zero interest note

'ISO' stands for:

A. Invention of Standards for Organisations

B. Intercontinental Symposium of Organisations

C. International Organisation for Standardisation

D. Intraterritorial Organisation of Securities

Accrued interest is designed to:

A. Compensate the buyer of an interest-bearing bond for interest earned, (but not paid) since the previous coupon payment date

B. Compensate the seller of an interest-bearing bond for interest earner, (but not paid) relating to the next coupon payment date

C. Compensate the buyer of an interest-bearing bond for interest earned, (but not paid) relating to the next coupon payment date

D. Compensate the seller of an interest-bearing bond for interest earned, (but not paid) since the previous coupon payment date

The abbreviation WAC stands for:

A. Wheel and Calculate

B. Weighted Average Cost

C. West Against Charge

D. Wait About Control