NAME: Real text database

Q: What are the most common shares in the UK?
A+: Ordinary
A: Preference
A: ADR's
A: A shares

Q: Which of the following is an intangible asset? 
A: Factory
A: Depreciation
A+: Goodwill
A: Share premium account

Q: What is the NMS?
A: The gross redemption field
A+: The amount of shares that is normally traded in a stock
A: A stock that is illiquid
A: A deal which does not need to be reported to the LSE

Q: Which of the following would be considered a connected party?
A: Your broker
A+: Your son
A: Your sister
A: Your parent

Q: At what level does an investor have an obligation to notify a company of its interest?
A+: 3%
A: 5%
A: 7%
A: 10%

Q: Which of the following would be a contingent liability transaction?
A: Long a call
A: Long a put
A: Short futures
A+: Long the underlying

Q: An investor buys shares on Wednesday 10th when will the settlement date be?
A: Monday 15th
A: Tuesday 16th
A+: Wednesday 17th
A: Thursday 18th

Q: Which is not a method of auctioning gilts?
A: Auction
A: Tap
A: Offer for sale
A+: Bonus issue

Q: What is the settlement period for gilts?
A: T+5
A+: T+1
A: T+2
A: T+0

Q: What is the correct order for receiving funds in the case of a liquidation?
A: Creditors, Debentures, Preference shares, Ordinary shares.
A: Debentures, Preference shares, Creditors, Ordinary shares.
A: Ordinary shares, Preference shares, Creditor, Debentures.
A+: Debentures, Creditor, Preference shares, Ordinary Shares
