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Chartered Wealth Manager (CWM) Global Examination

Last Update 18 hours ago Total Questions : 1057

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Question # 1

A “Mass Affluent” segment client has investible assets worth of

A.

$50,000

B.

$100,000

C.

$200,000

D.

None of the above

Question # 2

What is the future value of Rs. 5000 at the end of 5 years at 8% compounded annually?

A.

7346.64

B.

7401.22

C.

7388.12

D.

7390

Question # 3

AUM stands for

A.

Asset Utilization Model

B.

Asset Under Management

C.

Area Under Management

D.

None of the above

Question # 4

Trust banks are ____________

A.

UK equivalent of traditional American private bank

B.

US equivalent of traditional European private bank

C.

Japanese equivalent of traditional European private bank

D.

None of the above

Question # 5

Saurabh contributes Rs. 10,000 every year starting from the end of the 5th year from today till the end of 12th year in the account that gives a ROI of 7.75% p.a. compounded half yearly. Calculate the Present Value of his contribution today.

A.

39441

B.

39800

C.

42557

D.

36500

Question # 6

What amount needs to be deposited today in an account that would pay Rs. 1,10,000 per year for the first 10 years and Rs. 2,25,000 for the next 5 years. If the ROI for the first 10 years if 10.75 % p.a. compounded annually and 13% p.a. compounded quarterly for the balance period.?

A.

779030

B.

912336

C.

935282

D.

995282

Question # 7

Which of the following statement is not true?

A.

Value of a bond with semi-annual interest rate, is greater than the value of bond providing interest on annual basis T

B.

Constant/variable growth model, for the valuation of equity share, is applicable for the growth rate g ? ke F

C.

In a variable growth model, the dividend is assumed to grow at a constant rate forever after a initial growth period T

D.

All of the above

Question # 8

Any amount payable and the amount of refund due under the Income Tax Act,1961 shall be rounded off to the nearest multiple of.......... ?

A.

Rs. 1

B.

Rs. 10

C.

Rs. 100

D.

No rounded off is done

Question # 9

Ramesh retired as General Manager of XYZ Co. Ltd. On 30.11.2012 after rendering service for 20 years and 10 months. He received Rs. 300000 as gratuity from the employer. (He is not covered by Gratuity Act, 1972).

His salary particulars are given below:

He resides in his own house interest on monies borrowed for the self occupied house is Rs. 24000 for the year ended 31.03.2013

Compute taxable income of Ramesh for the year ended 31.03.2013.

A.

258900

B.

272600

C.

265450

D.

285470

Question # 10

The correlation coefficient between returns on stock of M/s X Ltd and the market returns is 0.3. The variance of returns on M/s X Ltd. is 225(%)2 and that for the market returns is 100(%)2 . The risk-free rate of return is 5% and the market return is 15%. The last paid dividend is Rs. 2 and the current purchase price is Rs. 30. The growth rate for the company is 10%. The required rate of return on the security as per the Capital Asset Pricing Model is:

A.

10%

B.

11.30%

C.

9.50%

D.

12.50%

Question # 11

Rs. 1.50 lakh settled on a trust for the benefit of Akash and Bina for life. They share the income in proportion of 3:2.Their ages on valuation date are 20 years and 16 years. The average annual income for the last three years on the valuation date is Rs. 15,000/-. Find out the value of life interest of Akash and Bina if the value of life interest of Re 1/- at the age of 20 years is 12.273 and at the age of 16 years is 12.534.

A.

Akash Rs. 1,10,457/- Bina Rs. 75,204/-

B.

Akash Rs. 89,241/- Bina Rs. 60,759/-

C.

Akash Rs. 1,10,457/- Bina Rs. 60,759/-

D.

Akash Rs. 60,759/- Bina Rs. 75,204/-

Question # 12

Deflation is__________

A.

Good for developed countries

B.

A Boon

C.

Good for developing economics

D.

A phenomenon which has a number of negative aspects.

Question # 13

Inflation refers to ............

A.

Increase in price rise

B.

Decrease in price rise

C.

Fall in money value

D.

A and C

Question # 14

The interest payable for a housing loan outside India is not allowed as a deduction U/S 24 (1) while computing the income from house property?

A.

True

B.

FALSE

Question # 15

Speculators

A.

Bet on future movements of price of asset

B.

Try to reduce/ eliminate an existing risk

C.

Take advantage of price differential between two markets

D.

None of the above

Question # 16

Which of the following statement is not true?

A.

While the primary market deals in new securities, the stock market is a market for old securities

B.

The price of new issues are influenced, to a market extent, by the price movements in the stock market

C.

Organization, underwriting and distribution are three services provided by the new issue market.

D.

None of the above

Question # 17

In case of Pvt. Company memo must be signed by atleast …….. person

A.

One

B.

Two

C.

Seven

D.

Fifteen

Question # 18

The Number of foreign Banks operating in India is

A.

20

B.

25

C.

28

D.

32

Question # 19

In case of monthly premium payments, days of grace are

A.

10 Days

B.

15 Days

C.

30 Days

D.

Three Weeks

Question # 20

What is the minimum age required to avail the Benefits provided under the golden hand shake scheme?

A.

21 years

B.

45 years

C.

55 years

D.

40 years

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