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Pass the AAFM Chartered Wealth Manager GLO_CWM_LVL_1 Questions and answers with CertsForce

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Viewing questions 61-80 out of questions
Questions # 61:

Mr. M by a Gift deed transferred certain property to her daughter, with a direction that daughter should pay an annuity to Mr. M's brother, as had been done by Mr. M. On the same day, the daughter executed a deed in writing in favour of Mr. M's brother, agreeing to pay annuity. Afterwards, she declined to fulfil her promise saying that no consideration had moved from her uncle. Which of the following statements is correct'?

Options:

A.

The daughter is bound to pay annuity.


B.

There is no valid consideration in this contract.


C.

M's brother is a third party to the contract and cannot suc.


D.

The daughter is not bound to pay annuity.


Expert Solution
Questions # 62:

Mentioned below is the information regarding three mutual funds - Reliance, TATA, SBI and the Market Index.

Question # 62

The Risk free return rate is 5%. Calculate the Jensen Measure of RELIANCE, TATA, & SBI Fund.

Options:

A.

0.60, – 1.65, – 1.45


B.

0.60,1.65,1.45


C.

1.65, – 1.65, – 1.45


D.

None of the above


Expert Solution
Questions # 63:

Which of the following transaction /transactions is/are an example of the Layering Stage of Money Laundering?

Question # 63

Options:

A.

Only b


B.

b, c and d


C.

a b and c


D.

b and d


Expert Solution
Questions # 64:

Calculate the total maturity amount payable in a policy of Rs. 4,00,000/-, if the term of the policy was 17 years and bonus was Rs. 52 per thousand per annum and a final bonus of Rs. 125/- per thousand was payable?

Options:

A.

Rs. 745123


B.

Rs. 723231


C.

Rs. 698235


D.

Rs. 803600


Expert Solution
Questions # 65:

Calculate Pure Premium, if Risk premium is Rs. 5,000 and Rate of interest is 7 %?

Options:

A.

Rs. 4672


B.

Rs. 4600


C.

Rs. 4800


D.

Rs. 4645


Expert Solution
Questions # 66:

Investment made in a stock 2 years ago is Rs. 175; the current value is Rs. 250. The dividend received at the end of 2nd year is Rs. 40. What is the CAGR?

Options:

A.

28.72%


B.

40%


C.

118%


D.

140%


Expert Solution
Questions # 67:

Which of the following are covered in the Banking Ombudsman Scheme?

Options:

A.

Scheduled Primary Co-operative Banks


B.

RRBs


C.

Both of the above


D.

None of the above


Expert Solution
Questions # 68:

Which of the following statements is TRUE concerning zero coupon bonds?

Options:

A.

Investors cannot lock in a high rate of return because of the lack of an annual coupon.


B.

The investor must pay taxes on the annual accrued interest even though no interest is actually received unless the bonds are held in tax-sheltered accounts


C.

Zero-coupon bonds generally require the investor to switch to a coupon-bearing bond after a period of 5 years.


D.

Large capital losses accrue when interest rates decline.


Expert Solution
Questions # 69:

The Motor Vehicle Insurance Policy has inbuilt cover for death/disability of driver/owner caused by accident during the use of the insured motor vehicle up to Rs. __________ in case of car/commercial vehicle and Rs. _________ in case of two wheelers.

Options:

A.

3,00,000, 2,00,000


B.

2,00,000, 1,00,000


C.

4,00,000, 3,00,000


D.

1,00,000, 50,000


Expert Solution
Questions # 70:

Sameer owns the following portfolio.

Question # 70

What is Portfolio Beta?

Options:

A.

0.1875


B.

0.93


C.

0.8795


D.

0.9975


Expert Solution
Questions # 71:

Binoy aged 30 years with a total income is 6,00,000 p.a pays Rs.25000 as LIC premium for a policy of 3 lakhs on his life. He also pays income tax of Rs. 30,000. His retirement age is 65. The self maintenance expenses are 1 lakh p.a. & rate of interest is 6% p.a. Calculate the total amount of insurance requirement under HLV method?

Options:

A.

66 lakhs


B.

68 lakhs


C.

45 lakhs


D.

55 lakhs


Expert Solution
Questions # 72:

Commutation of pension up to a limit of _______________ is tax exempt in case the gratuity is also received

Options:

A.

¼ of the pension


B.

1/3 of the pension


C.

½ of the pension


D.

¾ of the pension


Expert Solution
Questions # 73:

An investor investing Rs. 7,282.58 on March 1, 2012 and getting Rs. 10,000 back on February 28, 2017 would have a yield to maturity (YTM) of _____%.

Options:

A.

6.58


B.

6.55


C.

6.61


D.

6.64


Expert Solution
Questions # 74:

Consideration' under the law is a return promise to:

Question # 74

Options:

A.

(I), (II), and (III) only


B.

(I), (II), and (IV) only


C.

(I), (III), and (IV) only


D.

(II), (III), and (IV) only


Expert Solution
Questions # 75:

Total Domestic Income is equal to _______

Options:

A.

GDP at factor cost + Stock appreciation


B.

GNP at factor cost – NPIFA – statistical discrepancy + stock appreciation


C.

NNP at factor cost + Capital consumption – NPIFA – statistical discrepancy + stock appreciation


D.

All of the above


Expert Solution
Questions # 76:

Which one of the following is/are correct?

Question # 76

Options:

A.

(i) only


B.

(ii) only


C.

Both are correct


D.

Both are incorrect


Expert Solution
Questions # 77:

Which of the following statements is/are correct?

Question # 77

Options:

A.

Statement A is correct


B.

Statement B is correct


C.

Both statements are correct


D.

Both statements are false


Expert Solution
Questions # 78:

Which of the following statements are true?

Question # 78

Options:

A.

Only statement I is correct


B.

Only Statement II is correct


C.

Both statement, I and II are correct


D.

Both statement I and II are incorrect


Expert Solution
Questions # 79:

A portfolio consists of 50% of investment ‘R’ that earned 10%, 25% of investment ‘S’ that earned 6% and 25% of investment ‘T’ that earned 9%. Compute the weighted average return?

Options:

A.

8.75%


B.

8.50%


C.

9%


D.

8.25%


Expert Solution
Questions # 80:

An increase in the market value of a company indicates:

Options:

A.

Increase in profitability


B.

Increase in revenues


C.

Increase in future prospects


D.

None of the above


Expert Solution
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Viewing questions 61-80 out of questions