Questions

Q:

What is hedging?

Answer

Hedging is a tool to minimize the risks. It is thus like an 'insurance' where one pays a premium but gets an assured amount in case of some uncertain event to the extent of the loss actually suffered on an equally opposite position for which the hedge was done. Thus, hedger is different from arbitrageur and speculators, as the intention here is not to maximize the profit but to minimize the loss.


E.g. In Capital Markets, suppose an investor has an equity portfolio of Rs. 2 lacs and the portfolio consists of all the major stocks of NIFTY. He thinks the market will improve in the long run but might go on a downside in the shortrun. NIFTY today stands at 4300. To minimize the risk of downfall, he enters into an option contract by buying NIFTY-PUT of strike 4300 at a premium of, say, Rs. 100. Thus, the actual amount paid is Rs. 5,000(lot size of NIFTY is 50). Also, the number of NIFTY-PUTs to be bought will vary on the beta of the portfolio so as to completely hedge the positon. 

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Subject: Finance

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Q:

Why are commercial advertisements made?

A) To convince the viewer to buy a product B) To confuse the viewer about the different products in market
C) To dissuade the viewer from buying a product D) To highlight the flaws of a product
 
Answer & Explanation Answer: A) To convince the viewer to buy a product

Explanation:

Commercial advertisements are created for the purpose of raising the awareness of the public on a company's products or services.

 

* It is very important for a business to have its goods and services known to the public.

 

* It can greatly boost its sales by attracting more csutomers which in effect helps a company grow and become successful.

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Filed Under: Advertising and Media
Exam Prep: AIEEE
Job Role: Analyst

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Q:

Which of the following team has won the 37th and final edition of the Hockey Champions Trophy at Breda, the Netherlands?

A) India B) Australia
C) Brazil D) The Netherlands
 
Answer & Explanation Answer: B) Australia

Explanation:

In the summit clash of the 37th and final edition of the Hockey Champions Trophy at Breda, the Netherlands, India lost to defending champions Australia via penalty shoot-off. The match went into the shoot-off after both the teams were locked at 1-1 in regulation time.

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Filed Under: Sports
Exam Prep: AIEEE , Bank Exams , CAT , GATE
Job Role: Analyst , Bank Clerk , Bank PO

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Q:

What is the name of the Indian Coast Guard Ship which has been decommissioned by the Indian navy recently ?

A) Sarathi B) Shaurya
C) Varuna D) Ayush
 
Answer & Explanation Answer: C) Varuna

Explanation:
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Filed Under: General Awareness
Exam Prep: AIEEE , Bank Exams , CAT
Job Role: Bank Clerk , Bank PO

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Q:

In which of the following, the cellular power plants - Mitochondria are absent?

A) Bacteria B) Red Algae
C) Brown Algae D) Green Algae
 
Answer & Explanation Answer: A) Bacteria

Explanation:

Mitochondria is absent in Bacteria as well as in Blue Green Algae. They are seen in eukaryotic cells for respiration purpose.

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Filed Under: Biology
Exam Prep: AIEEE , Bank Exams , CAT
Job Role: Analyst , Bank Clerk , Bank PO

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Q:

With which Digital payments firm Paytm has partnered, to launch AI-based cloud computing platform 'Paytm AI Cloud'?

A) GOOGLE B) Alibaba
C) Flipkart D) Infosys
 
Answer & Explanation Answer: B) Alibaba

Explanation:

Digital payments firm Paytm has partnered with China's Alibaba to launch AI-based cloud computing platform 'Paytm AI Cloud'.

 

The platform will offer business-centric apps to developers, startups and enterprises that need cloud-computing solutions including customer engagement and easy-to-integrate payments.

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Filed Under: General Awareness
Exam Prep: AIEEE , Bank Exams , CAT
Job Role: Analyst , Bank Clerk , Bank PO

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Q:

In the following question, a sentence has been given in Direct/Indirect speech. Out of the four alternatives suggested, select the one, which best express the same sentence in Indirect/Direct speech.
Mother said, "Lie down, Arjun."

A) Mother told lie down Arjun. B) Mother told Arjun for lying down.
C) Mother asked Arjun to lie down. D) Mother asked Arjun to be lied down.
 
Answer & Explanation Answer: C) Mother asked Arjun to lie down.

Explanation:
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Filed Under: English
Exam Prep: Bank Exams

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Q:

The World's largest reserves of petroleum are located in

A) The USA B) Russia
C) Saudi Arabia D) Kuwait
 
Answer & Explanation Answer: C) Saudi Arabia

Explanation:

Nearly 15% of the petroleum reserves are found in Soudi Arabia

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Filed Under: World Geography

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