What is hedging?

Correct Answer: Exchange Traded Funds (ETFs) are a relatively new phenomenon and are gaining popularity rapidly This post outlines the key features of an ETF ETFs are like mutual funds because they hold an underlying asset like stocks, debt, commodities future contracts etc If you are new to the concept of an ETF, think of it as a mutual fund, and build your understanding from thereon An example of an ETF is the SBI Gold ETF, which holds physical gold as its underlying asset

Correct Answer: Secondary market refers to market where securities are traded after being initially offered to the public in the primary market and/or listed on the stock exchange

Correct Answer: It is statement of balances of all the accounts in the ledger prepared to prove the arithmetical accuracy of the books of accounts A trial Balance is a list of Debit and Credit or a list of Debit & Credit Balance of all the ledger accounts prepared on any particular date

Correct Answer: Rupess is the currency of our country and only govt has the authority to issue indian currency it has been signed by ministry of finance, all other notes are bearer notes which are signed by governor no interference by RBI RBI has the right to print currency notes in the country except coins & 1 Re note which are issued by Govt Thus, it bears the sign of MoF

Correct Answer: Investment and asset are really close in meaning Investment is when you put your money in stock, bond or other financial instruments Whereas Asset is what you own generally reffered to land, proprietorship , factory, etc

Correct Answer: A Treasury Bill (known as T-Bill) is an instrument of money market, used to finance short term requirements of Government of a country A T-Bill is issued at a rate lower than the Face value, and redeemed at Face value on maturity, this difference is the rate of interest on T-Bill This rate of interest is called Risk free Rate of the country

Correct Answer: Lender

Explanation:

Someone who receives money in exchange for a promise to pay it back later is called a borrower1, and the person making the loan is the lender.

Correct Answer: It helps you to balance your risk across different types of investments.

Correct Answer: Jumping inflation

Explanation:

Galloping inflation is also known as jumping inflation.

 

It refers to a type of inflation that occurs when the prices of goods and services increase at the two-digit or three-digit rate per annum.

Correct Answer: 1 A fixed budget is established for a specific level of activity whereas flexible budget is prepared for various levels of activity 2 Fixed budget cannot be changed after the period commences, whereas a flexible budget can be changed after the period commence 3 Fixed budget is more suitable for fixed expenses whereas flexible budget takes both fixed as well as variable expenses in account 4 Fixed budget includes only fixed costs, whereas a flexible budget includes fixed costs, variable costs and semi variable costs 5 Fixed budget is mainly used in planning stage whereas flexible budget is used in controlling stage