31. What is a “cyclical stock”?
a) A stock of a company in the technology sector
b) A stock of a company in the consumer goods sector
c) A stock of a company whose performance is closely tied to the business cycle
d) A stock of a company with stable earnings throughout the economic cycle
32. What does the term “market value” refer to in the capital market?
a) The value at which a security is currently trading in the market
b) The value of a company’s total assets
c) The value of a company’s total liabilities
d) The value of a stock at the time of its initial offering
33. What is “maturity” in relation to bonds?
a) The date when a bond is issued
b) The date when a bond pays its first interest payment
c) The date when a bond reaches its final redemption
d) The date when a bond is listed on the stock exchange
34. What is a “hedge fund”?
a) An investment fund that uses advanced strategies to generate high returns
b) A fund managed by a financial institution
c) A fund that invests only in government bonds
d) A fund that invests in real estate properties
35. What does the term “floor trading” refer to?
a) A method of trading in which securities are traded on a physical trading floor
b) A method of trading in which securities are traded electronically
c) The process of listing a company’s stock on an exchange
d) The process of buying a stock on margin
