805 Financial Market Management SQP
805 Financial Market Management SQP
805 Financial Market Management SQP
Pg. 1
CBSE | DEPARTMENT OF SKILL EDUCATION
FINANCIAL MARKETS MANAGEMENT (SUBJECT CODE: 805)
Sample Question Paper for Class XII (Session 2022-2023)
Max. Time: 3 Hours Max. Marks: 60
General Instructions:
1. Please read the instructions carefully.
2. This Question Paper consists of 24 questions in two sections – Section A & Section B.
3. Section A has Objective type questions whereas Section B contains Subjective type
questions.
4. Out of the given (6 + 18 =) 24 questions, a candidate has to answer (6 + 11 =) 17
questions in the allotted (maximum) time of 3 hours.
5. All questions of a particular section must be attempted in the correct order.
6. SECTION A - OBJECTIVE TYPE QUESTIONS (30 MARKS):
i. This section has 06 questions.
ii. There is no negative marking.
iii. Do as per the instructions given.
iv. Marks allotted are mentioned against each question/part.
7. SECTION B – SUBJECTIVE TYPE QUESTIONS (30 MARKS):
i. This section contains 18 questions.
ii. A candidate has to do 11 questions.
iii. Do as per the instructions given.
iv. Marks allotted are mentioned against each question/part.
Pg. 2
SECTION A: OBJECTIVE TYPE QUESTIONS
Pg. 3
iv. This category of membership entitles a member to clear and settle 1
trades of such members of the Exchange who choose to clear and
settle their trades through this member.
a. Trading Member
b. Trading cum self-clearing member
c. Trading cum clearing member
d. Professional Clearing member
Pg. 4
v. The Activity Log (AL) shows all the activities that have been 1
performed on any order belonging to that user. Which of the
following is not a feature of activity log?
a. The AL gives details of all activities in chronological orders.
b. The activity consists only of orders entered by the requesting
trading member.
c. This inquiry option is not available to users in inquiry mode.
d. The user can modify orders from the outstanding orders screen.
vi. What is meant by Snap quote? 1
vii. OECLOB stands for 1
a. Open Electronic Consolidated limit order Book
b. Offer Electronic Consolidated limit order Book
c. Open Electronic Considered limit order Book
d. Open Electronic Combined limit order Book
Pg. 5
iii. Certain key financial parameters like Earnings Per Share (EPS), 1
P/E ratio, current size of equity etc. for arriving at the estimated
future price will be considered as _________.
a. Industry Analysis
b. Corporate Analysis
c. Financial Analysis
d. Technical Analysis
iv. Current Ratio Measures ___________. 1
a. Liquidity
b. Solvency
c. Profitability
d. Debt-Equity
v. Long term financial strength or soundness of a firm is measured in 1
terms of its ability to pay interest regularly or repay principal on due
dates or at the time of maturity is known as _______
a. Current Account Structure
b. Profitability Ratio
c. Leverage/Capital Structure
d. Earnings Per Share
vi. _________measures the profit available to the equity shareholders 1
per share, that is, the amount that they can get on every share held.
a. Leverage/Capital Structure
b. Earnings Per Share
c. Current Account Structure
d. Profitability Ratio
iii. The amount that must be deposited in the margin account at the 1
time a futures contract is first entered into is known as__________-
a. Initial margin
b. Marking-to-market
c. Maintenance margin
d. Payoff Margin
iv. _______measures the sensitivity of stocks responsiveness to 1
market factors.
a. Alpha
b. Beta
c. Gamma
d. Theta
v. What are American Options? 1
vi. What does the spot price > strike price depicts? 1
a. Call In the Money
b. Put In the Money
c. Call Out of the Money
d. Put Out of the Money
Pg. 6
SECTION B: SUBJECTIVE TYPE QUESTIONS
Q. 7 Suggest any two techniques that can help us to maintain a positive outlook 2
in the long run.
Q. 8 There are five parameters that describe an individual’s personality. These 2
five dimensions are also called the ‘Big Five Factors’ and the model are
referred to as the ‘Five Factor Model’, Name them and define any one.
Q. 9 Write the procedure of Inserting clipart and images in presentation? 2
Q. 10 When a family or an individual runs a business successfully and passes it on 2
to the next generation, then such an entrepreneur is, generally, termed as
family business entrepreneur. Elaborate it
Q. 11 A startup is a company that is in the first stage of its operations. How do you 2
describe it?
Answer any 2 out of the given 3 questions in 30– 50 words each (3 x 2 = 6 marks)
Q. 17 Explain the conditions under which the relevant authority may require a 3
trading member to suspend its business in part or in whole?
Q. 18 When does order matching period start? Give the order matching the 3
sequence in the pre-open market?
Q. 19 The trading members are required to provide liquid assets which adequately 3
cover various margins & minimum capital requirements under capital
adequacy requirement. Describe its liquid asset requirement.
Answer any 3 out of the given 5 questions in 50– 80 words each (4 x 3 = 12 marks)
Pg. 7
Q. 23 Besides serving as a barometer of the economy/market, the index also has 4
other applications in finance. Various products have been designed based
on the indices such as the index derivatives, index funds and the exchange
traded funds. We here restrict our discussion to only index derivatives. How
does an index derivative earn popularity?
Q. 24 There are times when you think the market is going to rise over the next two 4
months; however in the event that the market does not rise, you would like
to limit your downside. One way you could do this is by entering into a
spread. A spread trading strategy involves taking a position in two or more
options of the same type, that is, two or more calls or two or more puts. A
spread that is designed to profit if the price goes up is called a bull spread.
Discuss the case with an example
Pg. 8