B.Com In Investment Management SEM I 2023 2024 Dec 2024 BASIC OF INVESTMENT & WEALTH CREATION Question Paper - Mumbai University | munotes

Questions asked in this paper

1. Q1 A) Fill in the Blanks (Any 8) 8 marks
2. Q1 Risk tolerance often depends on factors like and investment experience
3. Q2 risk investment may not keep balance with inflation, causing in
4. Q3 Creating diversified portfolios tailored to investors risk tolerance and investment horizon is known as ‘ 4, Long term investors can consider and real estate for the investment
5. Q5 The primary goal of investing is to grow your wealth, power)
6. Q6 is on acquiring or upgrading long term asset like equipment and
7. Q7 Diversified portfolio of is managed by professionals
8. Q8 are funds designed for specific retirement or saving goals with specific time horizon. (target date fund, money market fund, short term investment)
9. Q9 Investment refers to of funds, resources or assets with expectation of
10. Q10 An investment is a brought with the idea that the asset will provide income
    • (B) State whether the following statements are True or False (Any 7) 07
11. Q1 CD offers slightly neutral interest rate than saving account
12. Q2 Investment allows business for growing liability for various business activity 3.Saving refers to setting aside from your income
13. Q4 Diversification of investment in various assets spread risk
14. Q5 Emotion and risk aversion can play a significant role in affecting risk profiling
15. Q6 Risk appetite is the balance between risk tolerance and risk capacity
16. Q7 Understanding the investor psychology does not help to explain market behaviour:
17. Q8 Regret aversion investors are those who prefers investment with lower risk and willing to accept lower returns for safety
18. Q9 Individuals short term and long term financial objective can influence risk tolerance
19. Q10 Diversification is one of the factors determining interest rate
20. Q2 A. What is debt management? Define its types 8 marks
    • B. Explain different form of business ownership 07
    • C. Write a note on cash inflow & cash outflow 08
    • D. How to prepare income & expenditure statement. 07 FYBIM Basic of Investment & Wealth Creation 2%-HRS 75-MARKS
21. Q3 A. Mrs. Sanjana has invested Rs.25000 on scheme @ 12% per annum , compounded quarterly. Find out what will the amount become after 2 years. 08 Treasure bonds carry 13% interest. Beta factors may be taken out at 3, the long ierm market rate of return may be taken at 16.5%. Calculate the cost of equity using CAPM 07
    • C. Calculate the internal rate of return by using the following data. Also calculate net value. The initial outflow is Rs.200,000 and cost of capital is 10%. Cash flow for
    • D. Find out expenditure and also calculate ratio of saving to expenditure if income is 288000 and saving is 36,000. 07
22. Q4 A. Ms. Rashi saves Rs.1800 pm from her salary of 14400. Find out the following ratios
    • a) Income to saving. b) Saving to expenditure. c) Expenditure to income . 08
    • B. A deposit of 5000 is made to earn interest at the rate 6.5% per annum. Find out future value of their deposits if compounding period is half yearly. 07
    • C. A bank pays 10% per annum interest compounded quarterly. Find out the equal Be made at the end of each quarter for 10 years to have Rs.30,200. 08
    • D. Calculate the different liquidity by ratio from the following particulars. 07
23. Q5 Write a note on the risk tolerance, risk capacity and risk appetite. Short Notes (Any Three) 15 15 marks
24. Q2 Write a note on investment objectives
25. Q3 Simple interest rate and compound interest rates
26. Q4 Write a note on wealth erosion
27. Q5 Type of risks in investment

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