BCom In Accounting & Finance (BCAF) SEM II 2018 19 April 2019 INNOVATIVE FINANCIAL SERVICES Question Paper - Mumbai University | munotes

Questions asked in this paper

1. Q3 All questions carry equal marks
2. Q1 A Select the appropriate options and rewrite the following sentences.(any eight) 1.100% finance is provided in 8 marks
   • (a) Factoring (b) Forfaiting (c) Both (a) & (b) (d) None of (a) & (b) 2.A is defined as any person who is engaged in the business of issue
3. Q3 Financial services are
   • (a) inseparable(b)intangible(c)variable(d)all of the above
4. Q4 is an apex housing finance institution in the country
5. Q5 Equipment leasing is an example of. services
   • (a)fund based(b)non-fund based(c)both the above(d)none of the two
6. Q6 Securitisation is the process of pooling and repackaging of homogeneous financial assets into marketable securities 7.Ina lease, the lessor does not transfer all the risks and rewards incidental to the ownership of the asset
   • (a)finance (b) operating (c) Both (a) & None of (a) & (b)
7. Q8 Features of Venture Capital includes
   • (a)High risk (b) Illiquid investment (c) High Technology (d)AII of these
8. Q9 Credit Card facility is an excellent example of credit
9. Q10 Where in an order, the client places a limit on the price of the security; it is a case
   • (a) limit order (b)best rate order (c)stop loss order (d)immediate or cancel order
10. Q1 B Rewrite the following statements and state whether they are True or False. 7 marks
11. Q1 The non-fund based services are called asset based services bills covered under the scheme must be genuine trade bills relating to the sale or dispatch of goods
12. Q3 Underwriters agree to take up securities which are not fully subscribed
13. Q4 A stock broker is a member of a recognized stock exchange
14. Q5 A derivative is a contract between two parties which derives its value or price from an underlying asset
15. Q6 In a finance lease, the lessor does not transfer all the risks and rewards incidental to the ownership of the asset
16. Q7 The last stage in venture capital financing is the exit to realize the investment so as to make a profit or minimize losses
17. Q8 Consumer finance refers to the raising of finance by businesses for the acquisition of durable goods
18. Q9 NBFCs are not allowed to accept demand deposits
19. Q10 One time assessment of creditworthiness is valid over the future life of the
20. Q2 (a) Define financial services. What are the types of financial services? Explain with any three examples of each type 8 marks
    • (b) Distinguish between factoring and forfeiting. 7
    • (c) Define Merchant Banker. State any seven services provided by Merchant 8
    • (d) What is the meaning of ‘Securitisation’? Explain its features. 7
21. Q3 (a) Distinguish between Operating Lease and Financial Lease. 8 marks
    • (b) Explain the meaning of Venture Capital. State its features. 7
    • (c ) State any eight advantages of Hire Purchase. 8
    • (d) Describe various sources of Consumer Finance. 7
    • (a) Explain limitations of Credit Rating. 8
    • (b) How can frauds and misuse of Credit Cards be prevented? 7
    • (c ) What are the benefits of using Credit Cards? 8
    • (d) Explain features of recourse and non-recourse factoring. Q:5 (A) State any eight advantages of leasing to the lessee. (8) 7
    • (B) Explain meaning & importance of underwriters in issue management. 7
22. Q5 Write a short note on: (Any three) 15 marks
    • (a) Role of NHB
    • (b) Advantages of credit rating to the investors
    • (c) Importance of financial services
    • (d) Code of conduct for an issue

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