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प्रश्न
Explain the following term/concept.
Repurchase agreement
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उत्तर
It is an agreement where the seller of security (i.e. one who needs money) agrees to buy it back from the lender at a higher price on a future date. Usually, this agreement is between RBI and commercial banks. RBI uses this agreement to control the money supply in the economy. These agreements are the most liquid of all money market investments having maturity ranging from 24 hours to several months.
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संबंधित प्रश्न
Write a word or a term or a phrase which can substitute the following statement.
A market which provides long term funds
Write a word or a term or a phrase which can substitute the following statement.
A market which provides short term funds
State whether the following statement is true or false
Capital market is the market for the long term funds.
State whether the following statement is true or false
Secondary market is commonly known as stock market.
State whether the following statement is true or false
Commercial paper is a secured promissory note.
Find the odd one.
Complete the sentence.
In capital market the instruments traded have maturity period of more than ______ year.
Select the correct option from the bracket.
| Group ‘A’ | Group ‘B’ |
| a) Money market | 1) ____________ |
| b) Zero risk instrument | 2) _____________ |
| c) __________ | 3) Capital market |
| d) __________ | 4) Secondary market |
(Buying and selling of existing securities, Treasury Bills, Funds for long term, Fund for short term)
Answer in one sentence.
What is Certificate of Deposits?
Answer in one sentence.
What is Trade Bill?
Correct the underlined word/s and rewrite the following sentence.
In Money market, the instruments traded have maturity period of more than one year.
Correct the underlined word/s and rewrite the following sentence.
Financial market can be classified as capital market and call money market.
Explain the following term/concept.
Money market
Explain the following term/concept.
Treasury bills
Answer in brief.
State any four features of money market
Justify the following statement.
Financial markets acts as link between investor and borrower.
Answer the following question
State the instruments in money market.
Study the following case/situation and express your opinion.
| Joy ltd. company is a newly incorporated company. It wants to raise capital for the first time by issuing equity shares. |
- Should it go to the primary market or secondary market to issue its shares?
- Should it offer its shares through public offers or rights issues?
- What will be the issue of Equity shares by Joy Ltd. co. called, IPO or FPO?
