A borrower gives to creditor a security to grantee repayment of a loan. What is this security called ?

Related Mcqs:

1. What is called bankruptcy practitioner appointed by secured creditors to oversee the repayment of debts?

   A. Liquidator
   B. Solicitor
   C. Receiver
   D. Agent

2. What is called that debt obligation backed strictly by the borrower’s integrity ?

   A. Debenture
   B. Securities
   C. Credit rating
   D. None of them

3. Bank loans are usually altered to have longer maturities in order to assist the borrower in making the necessary repayments. What these loans are called____________?

   A. Rearranged loans
   B. Rescheduled loans
   C. Altered loans
   D. None of these

4. Under Which of the following conditions would you prefer to be the borrower ?

   A. The nominal rate of interest is 12 percent and the inflation rate is 9 percent
   B. The nominal rate of interest is 20 percent and the inflation rate is 25 percent
   C. The nominal rate of interest is 5 percent and the inflation rate is 1 percent
   D. The nominal rate of interest is 15 percent and the inflation rate is 14 percent

5. An agreement between a borrower country and the International Monetary Fund in which the country agrees to revamp its economic policies to provide incentives for higher export earnings and lower imports is a ?

   A. debt rescheduling agreement
   B. debt service agreement
   C. program for growth
   D. stabilization program

6. When the world Bank or IMF requires improved external balance in the short run the agency may condition its loan on expenditure switching that is ?

   A. switching spending from domestic to foreign sources
   B. devaluing local currencies
   C. increase trade restrictions by imposing quota
   D. increase government spending

7. What is called the price that a potential buyer is willing to pay for a security ?

   A. Bid
   B. Offer price
   C. Quote price
   D. None of these

8. Quoted bid or highest price on inventor in willing to pay to buy a security is called ?

   A. Offer price
   B. Bid price
   C. Quote price
   D. Market price

9. Failure to make timely payment of interest or principal on a debt security or to otherwise comply with the provisions of a bound indenture is called ?

   A. Rolling debt
   B. Bad debt
   C. Rescheduling
   D. Default

10. In an economy measuring (1) total value added (2)total spending on final goods and (3)total factor earning gives the result that ?

    A. 3>2>1
    B. 3=2=1
    C. 3<2<1
    D. any measure can be larger or smaller than any other