THEORIES

1. Also known as the trading band, refers to the lowest (floor) and highest (ceiling) price limit for
each security that the system against unusual share fluctuations will accept
a. Static Diagnostics
b. Dynamic Barrier
c. Static Threshold
d. Dynamic Threshold

2. The Upper and Lower ______ Threshold refer to the allowed price from one trade to the next.
When this threshold is breached, the security will be frozen, until the Market Control acts on the
Order that has been frozen.
a. Static
b. Fluctuating
c. Dynamic
d. Expected

3. PSE requires that material information be disclosed within 10 minutes after its occurrence.
Information which may affect listed company’s stock price positively or negatively.
a. Securities Investors Protection Fund
b. Total Market Surveillance
c. DIsclosure Requirement for Publicly Listed Companies
d. Capital Markets Integrity Corporation

4. The following are general criteria for admission to listing in the PSE, except:
a. Market Capitalization
b. Operating History
c. Variable Inflation Factor
d. Positive Shareholder’s Equity

5. The minimum capital requirement as one of the general criteria to listing in the PSE:

a. minimum authorized capital stock of P1 Million and 25% of which must be subscribed
and fully paid
b. minimum authorized capital stock of less than P500 Million and 30% of which must be
subscribed and fully paid
c. minimum authorized capital stock of P500 Million and 25% of which must be subscribed
and fully paid
d. minimum authorized capital stock of P500 Million and 30% of which must be subscribed
and fully paid

6. Corporate Disclosures: Structured Continuing Disclosures entails

 a. communications of corporate developments as they happen update the investing public
of corporate activities, operations and business.
b. Valuation of Assets
c. Reportorial requirements submitted within specific time frames (annual, quarterly)
d. Full payment of issued and outstanding shares

7. Corporate Disclosures: Unstructured Continuing Disclosures entails

a. Valuation of Assets
b. Full payment of issued and outstanding shares
c. Communications of corporate developments as they happen; Update the investing public
of corporate activities, operations and business.
d. Reportorial requirements submitted within specific time frames (annual, quarterly)

8. ____ was established for the primary purpose of reinforcing the confidence of the investing
public in capital market institutions and promoting a more active and vibrant market
participation.

a. Market Capitalization
b. Securities Investors Protection Fund
c. Capital Markets Integrity Corporation
d. Variable Inflation Factor

9. The_________ is the national and sole stock exchange in the Philippines created 1992.
a. Bureau of Internal Revenue
b. Philippine Stock Exchange
c. Securities and Exchange Commission
d. Bureau of Treasury

10. The Philippine Stock Exchange is merged from

a. Binondo Stock Exchange (MSE) Makati Stock Exchange (MkSE)
b. Binondo Stock Exchange (MSE) Taguig Stock Exchange (MkSE)
c. Manila Stock Exchange (MSE) Makati Stock Exchange (MkSE)
d. Manila Stock Exchange (MSE) Mandaluyong Stock Exchange (MkSE)