Association of Mutual Funds in India (AMFI) 2008 AMFI Mutual Fund Basic Module Model Mock Test - university paper

(d) Primary Markets are places where only short term instruments are traded.
(e) I am not attempting the ques.

Q25 The future value of a Rs.10,000 investment done today, which provide an annual rate of return of 20% per annum, after 1 year should be ____________. [ three Marks ]
(a) Rs. 12,200 (b) Rs. 12,500 (c) Rs. 12,000 (d) Rs. 12,640 (e) I am not attempting the ques.

Q26 Which of the subsequent issues have been eliminated by Depositories? [ one Mark ]
(a) Reduction in the share transfer time to the buyer.
(b) Risk of stolen, fake, forged shares.
(c) Stamp duty on transfer of shares in dematerialized form.
(d) All of the above
(e) I am not attempting the ques.

Q27 Which of the subsequent is not a benefit of investing in mutual funds? [ two Marks ]
(a) Investment in Mutual funds leads to diversification of holdings.
(b) Mutual funds are managed by professional fund managers.
(c) Mutual Funds regularly give investors with info on the value of their investments.
(d) None of the above
(e) I am not attempting the ques.

Q28 Funds which invest only in the stocks comprising an index and aim to provide returns commensurate with the index returns are called _________. [ two Marks ]
(a) Index Funds (b) Active Funds (c) Dormant Funds (d) None of the above
(e) I am not attempting the ques.

Q29 Depositories are like banks for securities. [ one Mark ]
(a) actual (b) FALSE (c) Dormant Funds (d) None of the above (e) I am not attempting the ques.

Q30 At 12% annual inflation rate, an item costing Rs. 100 today, would cost Rs. _______ after 1 year. [ three Marks ]
(a) Rs. 114 (b) Rs. 112 (c) Rs. 102 (d) Rs. 113
(e) I am not attempting the ques.

Q31 The future value of a Rs.10,000 investment, which provide an annual rate of return of 20% per annum, after 2 years would grow to _________ (assume discrete compounding) [ three Marks ]
(a) Rs. 14,400 (b) Rs. 14,000 (c) Rs, 14,250 (d) Rs. 14,500
(e) I am not attempting the ques.

Earning:   Approval pending.