Chapter 2 test

Answered 0 of 25Pass mark 60%

Question 1 of 25

Assuming there is no uncertainty about the cash flow, why would an investor prefer receiving ₹100 today over receiving ₹100 after one month?

Because ₹100 receivable after a month carries a risk of defaultBecause of a preference for current consumption and the chance to invest the money and earn a returnBecause money received at a later date is taxed at a higher rate than money that is received todayBecause inflation is always zero over short periods

Practice questions are based on the NISM Series X-A workbook (February 2025), updated for later SEBI/RBI changes up to November 2026. Always check the latest NISM syllabus before your exam. Video lessons on YouTube ↗