BECE-144 · June 2025 · English

IGNOU BECE-144 June 2025 Previous Year Question Paper

FINANCIAL ECONOMICS

Structured previous year question paper for BECE-144, June 2025 session.

Max marks: 100 · Questions: 14 · Sections: 3

Verified: 5 Aug 2026

B. A. (HONOURS) ECONOMICS

(BAECH)

Term-End Examination

June, 2025

BECE-144 : FINANCIAL ECONOMICS

Time : 3 Hours Maximum Marks : 100

Note : Answer questions from all the Sections as

directed.

Section—A

Note: Answer any two questions from this

Section in about 500 words each.

2x20=40

Q1.What do you mean _ by financial instruments ? Explain the different types of financial instruments.

Q2.Explain the Capital Asset Pricing Model (CAPM). What are its assumptions ?

Q3.Explain its limitations also.

Q4.What do you understand by the term ‘the time value of money’ ? How is the concept of time value relevant in financial decisions ?

Q5.What do you mean by the term ‘Derivatives’ ? What are the different types of derivative markets ?

Section—B

Note: Answer any four questions from this

Section in about 250 words each.

4x12=48

Q6.What are the important features of fixed income securities ? Explain in brief.

Q7.What is Debt Securitisation ? Explain the risks attached to debt securitization.

Q8.What is a venture capital fund ? Discuss the main methods of venture capital financing.

Q9.Define bond yield. Explain the various types of yields that are useful in investment decisions.

Q10.Explain the different types of return measures used to evaluate the financial assets.

Q11.Explain the term ‘Expected Utility’.

Q12.What are its axioms ? How does a rational individual maximize his expected utility ?

Section—C

Note : Answer both questions from this Section.

2x6=12

Q13.Explain the following concepts :

(a) Sinking fund

(b) Investor’s indifference curve

Q14.Distinguish between the following :

(a) Bar graph and Histogram

(b) Null hypothesis and _ Alternative hypothesis