Financial Risk Management

MOST POPULAR AROUND THE WORLD
SUCCESS
PRACTICE BOOK» NOT FOR SALE

SERIES
FINANCIAL RISK MANAGEMENT

BOOST YOUR COMMERCE KNOWLEDGE
DESIGNED FOR SURE SUCCESS

MCQ EDITION
NARAYAN CHANGDER
+ S
1 O N
1 TI RS
ES WE
QU NS
A
USEFUL FOR
4STUDENTS 4
□ □TEACHERS 4
□PARENTS 4□KIDS 4
□QUIZ TEST
□EXAM 4
4 □TRIVIA TEST 4
□COMPETITIVE EXAM 4
□OTHERS
2
Preface:
This book has undergone rigorous scrutiny to ensure its accuracy. I eagerly invite constructive
feedback on its content. Feel free to reach out to me via Facebook at https://www.facebook.
com/narayanchangder. Additionally, you can access all of my books on Google Play Books at
https://play.google.com/store/books/author?id=Narayan+Changder.
JAI SHREE RAM
NARAYAN CHANGDER
This E-book is dedicated to the loving memory of my mother:

my guiding light, my shining star,
forever
It is my deepest gratitude and warmest

affection that I dedicate this Ebook.
To my mother JOYTSNA CHANGDER

who could not see this Ebook.
who has been a constant source of Knowledge and in-

spiration. Mom, Covid did not take you, it took our
many dreams. wherever you are we will meet again.
Disclaimer
The aim of this publication is to sup-

ply information taken from sources be-
lieved to be valid, reliable and authen-
ticate. The author bear no responsibil-
ity for any damage arising from inad-
verent omissions, negligence or inac-
curacies (typographical or factual) that
♣
NARAYAN CHANGDER
may have found their way into this PDF
booklet.
Due care has been taken to ensure that
the information provided in this book
is correct. Author is not responsible
for any errors, omissions or damage
arising out of use of this information.
nt
Importa inter-
s , s e ar ch the de
er to inclu -
i t h t h e answ w a n t
w u au
atisfied . If yo ontact
If not s rrect answers klet, please c t s:
p
net for
co
i n t h is boo F a c e b ook ht
estions on
tact him arayanchangd
er/
new qu a n c o n n
ou c om/
thor. Y acebook.c
. f
//www
CRUCIAL INFORMATION: PLEASE READ BEFORE
CONTINUING:

1. If you require practice sets on various sub-
jects, kindly send us a message on Facebook
with the subject name. Our team will be happy
to create them for you. Message us on Face-
book at https://www.facebook.com/
narayanchangder
2. Additionally, you can access all of my books
with answers on Google Play Books at »>
https://play.google.com/store/books/
author?id=Narayan+Changder
3. Answers are given at the end of every page
to help you identify your strengths and weak-
nesses.
4. It shows you how to build your own techni-
cal and pedagogical skills to enable them to
create their own materials and activities for
students.
5. It helps you to see how you can make the
transition from classroom teaching to blended
and online teaching.
6. It’s the cheapest good quality ebook that you
can buy online on google play books.
NARAYAN CHANGDER
7. The money raised from creating the sales of
the book will help to ensure that I’m able to
produce similar books like this at a compara-
ble price.
8. YOU CAN DOWNLOAD 4000+ FREE PRACTICE
SET PDF EBOOK ON VARIOUS SUBJECTS (NURS-
ERY to UNIVERSITY LEVEL) FROM GOOGLE
DRIVE LINK https://drive.google.com/
drive/u/1/folders/19TbUXltOSN5S7FV3sL
Contents
1 FINANCIAL RISK MANAGEMENT . . . . . . . . . . . . . . . . . . . . . . . 2

1.1 FINANCIAL RISK MANAGEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
1. FINANCIAL RISK
NARAYAN CHANGDER
MANAGEMENT
1.1 FINANCIAL RISK MANAGEMENT

1. The first step in a risk management pro- C. Debt Financing
gram is to D. Indenture
A. measure the frequency and severity of
potential losses. 5. are the major source of long-term debt
financing for most corporations.
B. monitor the results of the program.
A. Loans
C. identify the risks and potential losses.
B. Common Stock
D. evaluate the alternatives.
C. Commercial Paper
2. The types of risks that can be insured are
D. Bonds
risks
A. Pure 6. insurance covers losses resulting from
damage to people or property when the
B. Speculative
insured party is judged responsible.
C. Investment
A. Liability
D. Business
B. Key Person
3. Insurance is a risk management method C. Health
A. Risk Avoidance D. Disability
B. Risk Retention
7. The recommended amount of Emergency
C. Risk Transfer Fund for married couples (no children yet)
D. Risk Mitigation is
4. is the use of common stock and/or re- A. 9x monthly withdrawals

tained earnings to raise long-term funding. B. 9x monthly income
A. Equity financing C. 12x monthly withdrawals
B. Leverage D. 12x monthly income
1. C 2. A 3. C 4. A 5. D 6. A 7. A 8. A
1.1 FINANCIAL RISK MANAGEMENT 3
8. How may a company transfer risk to an- B. insurance covering losses resulting
other firm? from physical damage to or loss of the in-
sured’s real estate or personal property

A. Insurance
B. Risk Avoidance C. coverage provided by a firm to employ-
ees for medical expenses, loss of wages,
C. Risk Control and rehabilitation costs resulting from job-
D. Investing related injuries or disease
9. The three general categories of responsi- D. insurance covering losses resulting
bilities of the financial manager are from medical and hospital expenses as
well as income lost from injury or disease
A. cash-flow management, financial con-
trol, and financial planning. 13. The correct order of the financial planning
B. financial planning, accounting, and pyramid
government tax reporting. A. Cash flow, wealth distribution, invest-
C. government tax reporting, cash-flow ing, risk management, retirement
management, and financial control. B. Cash flow, risk management, invest-
D. accounting, cash-flow management, ing, retirement, wealth distribution
and government tax reporting. C. Cash flow, retirement, wealth distribu-
10. The principle that safer investments tend tion, risk, investing
to offer lower returns while riskier invest- D. Cashflow, investing, retirement,
ments tend to offer higher returns is called wealth distribution, risk management
A. the risky principle. 14. is a short-term security, or note, con-
B. cash flow decision. taining a borrower’s promise to pay.
C. risk-return relationship. A. A trade draft
D. the safety factor. B. Equity financing
11. is long-term borrowing from sources C. Commercial paper
outside of the company. D. Leverage
A. Leverage
15. Death protection with a certain period of
B. Outside Borrowing time, no cash value, the simplest and
C. Equity Financing most affordable is the characteristic of life
insurance
D. Debt Financing
A. Whole life
12. Which of the following best describes
health insurance? B. Endowment
A. insurance underwritten for a group as C. Unit link

a whole rather than each individual in it D. Term life
9. A 10. C 11. D 12. D 13. B 14. C 15. D

Financial Risk Management

Uploaded by

Copyright:

Available Formats

Financial Risk Management

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Financial Risk Management

Uploaded by

Copyright:

Available Formats

MOST POPULAR AROUND THE WORLD

PRACTICE BOOK» NOT FOR SALE