CWM_LEVEL_1

CWM_LEVEL_1 practice questions, page 4 of 6, with answer review and explanations.

Question 16

“At the money” option will generate

  1. Positive cash flows
  2. Zero cash flow
  3. Negative cash flows
  4. None of the above

Question 17

Fixed exchange-rate systems maintained by a gold standard have difficulty achieving equilibrium if…

  1. The money supply rises with surpluses.
  2. The money supply falls with deficits.
  3. Inflation of costs and prices occurs with a balance-of-payments surplus.
  4. Changes in the money supply are unrelated to the state of the balance of payments.

Question 18

In the Transfer of property Act, immovable property does not include.

  1. Building
  2. Land
  3. Pond
  4. Standing timber

Question 19

Deduction under section 80QQB is allowed to an author of a book of literary or artistic or scientific nature who is resident in India to the extent of:

  1. 100% of royalty income or Rs. 5,00,000 whichever is less
  2. 100% of royalty income or Rs. 3,00,000 whichever is less.
  3. 50% of royalty income or Rs. 5,00,000 whichever is less.
  4. 50% of royalty income or Rs. 3,00,000 whichever is less.

Question 20

Which of the following is not an exclusion under a health policy?

  1. Pre-existing conditions
  2. Accident injury
  3. Elective surgery
  4. Intentional self-inflicted injury