11. You cant eliminate the risk, but you can reduce it. In that case what are other risk that you might to consider in order to reduce it?

1. Default risk
2. Liquidity risk
3. Inflation risk
4. Maturity risk
5. All of the above
6. None of the above

12. How will you substitute different type of bonds when you are trying to reduce the risk?

1. Substitute the long-term bond with the short-term bond
2. Substitute the short-term bond with the long-term bond
3. Substitute the low interest rate of a bond with the higher one
4. Substitute the high interest rate of a bond with the lower on
5. Substitute a bond with different maturities
6. All of the above
7. None of the above

13. is type of mutual funds that providing income and maintaining the same value

1. Bond mutual funds
2. Closed-end mutual funds
3. Money market mutual funds
4. Opened-end mutual funds
5. None of the above

14. .. has closely linked relationship with the federal reserve bank

1. Financial market
2. Exchange trade market
3. Commercial bank
4. Capital market
5. None of the above

15. How will a broker get the profit in the OTC?

1. Getting the fees from investors for managing the account
2. Getting the fee from purchasing securities for investors
3. Getting the fee from selling the securities for investors
4. Getting the different amount between the selling and buying securities from investors
5. All of the above
6. None of the above

16. Why do you think small-firms effect can give arbitrageurs advantages?

1. Small firms can also give a better return than larger firms
2. Small firms can have more anomalies in the market
3. Small firms are more prone to the market changes
4. None of the above
5. All of the above

17. .. serves as value stores in the market

1. Saving
2. Derivatives
3. Instruments of finance
4. Life insurance
5. All of the above
6. None of the above

18. is a type of obligation which are not using mortgages as collaterals

1. Home loan
2. Home equity loan
3. Short term loan for purchasing a house
4. Loan for purchasing an apartment

19. Forward foreign exchange currency which can be executed before the appointed schedule is called .

1. Forward currency
2. Forward swap currency exchange
3. Derivatives foreign exchange currency
4. Future currency exchange

20. According to the theory of .. says that investing in two different short-term bonds are not much better than investing in a long-term bond alone.

1. Market segmented theory
2. Liquidity premium theory
3. The hypothesis of preferred habitat
4. Expectation theory
5. All of the above
6. None of the above