Module 1

Question 1

Various companies and industries raise funds for their ______ requirement through the money market.

Answer 1

short term

Question 2

Various companies and industries raise funds for their short term requirement through the ______

Answer 2

money market

Question 3

However, when they need funds for long term, ________ is their source.

Answer 3

capital market

Question 4

_______ is the market for long term investments.

Answer 4

Capital market

Question 5

Here, the buyers and sellers transact in capital market instruments like ______, debt instruments, debentures, shares, derivative market instruments like swaps, ETFs, futures, options, etc.

Answer 5

bonds

Question 6

The capital market has two types, ______ and _______.

Answer 6

Primary Market and Secondary Market

Question 7

The ______ is also called “New Issue Market” where a company brings Initial Public Offer (IPO) to get itself listed on the stock exchange for the first time.

Answer 7

primary market

Question 8

The primary market is also called _______ where a company brings Initial Public Offer (IPO) to get itself listed on the stock exchange for the first time.

Answer 8

New Issue Market

Question 9

The primary market is also called “New Issue Market” where a company brings ______ to get itself listed on the stock exchange for the first time.

Answer 9

Initial Public Offer (IPO)

Question 10

In the ______, the mobilization of funds is done through right issue, private placement and prospectus.

Answer 10

primary market

Question 11

the primary market, the ______ of funds is done through right issue, private placement and prospectus.

Answer 11

mobilization

Question 12

the primary market, the mobilization of funds is done through right issue, ______ and prospectus.

Answer 12

private placement

Question 13

the primary market, the mobilization of funds is done through right issue, private placement and ______.

Answer 13

prospectus

Question 14

The funds collected by the company in the ____ is used for its future expansion and growth.

Answer 14

IPO

Question 15

The funds collected by the company in the IPO is used for its _____ and growth.

Answer 15

future expansion

Question 16

The funds collected by the company in the IPO is used for its future expansion and _____.

Answer 16

growth

Question 17

_____ help the investors to put their savings into companies that are looking to expand their enterprises.

Answer 17

Primary markets

Question 18

Primary markets help the ____ to put their savings into companies that are looking to expand their enterprises.

Answer 18

investors

Question 19

Primary markets help the investors to put their savings into companies that are looking to ____ their enterprises.

Answer 19

expand

Question 20

Primary markets help the investors to put their savings into companies that are looking to expand their ______.

Answer 20

enterprises

Question 21

The ____ is a type of capital market where the securities that are already listed on the exchange are traded.

Answer 21

secondary market

Question 22

The trading done on the _____ and over the counter falls under the secondary market.

Answer 22

stock exchange

Question 23

The trading done on the stock exchange and over the counter falls under the _____.

Answer 23

secondary market

Question 24

Examples of secondary markets are ____ and _____.

Answer 24

National Stock Exchange (NSE) and Bombay Stock Exchange (BSE)

Question 25

In the primary market, the prospectus is used to _____.

Answer 25

raise funds

Question 26

The company invites the investors and the general public through an advertisement known as the _____ to subscribe to the shares of the company.

Answer 26

prospectus

Question 27

If the company receives a high subscription, then allotment is done to them on _____.

Answer 27

pro-rata basis

Question 28

Some companies try to avoid the IPO route to raise funds as it is very costly. Instead, they give investment opportunity to few individuals via _____.

Answer 28

private placement

Question 29

The structure of capital market allows the companies in need of additional funds to first approach their current investors before looking at the other sources for finance.

Answer 29

Right Issue

Question 30

The _____ gives the current investors the first opportunity to make additional investments in the company.

Answer 30

right issue

Question 31

E-IPO means _____.

Answer 31

Electronic Initial Public Offer

Question 32

____ is an agreement between the stock
exchange and the company to offer its shares to the public through online mode.

Answer 32

E-IPO