12th Commerce - Book Back Answers - Chapter 8 - English Medium Guides

  

 

Plus Two / 12th Commerce - Book Back Answers - Chapter 8 - English Medium

Tamil Nadu Board 12th Standard Commerce - Chapter 8: Book Back Answers and Solutions

    This post covers the book back answers and solutions for Chapter 8 – Commerce from the Tamil Nadu State Board 12th Standard textbook. These detailed answers have been carefully prepared by our expert teachers at KalviTips.com.

    We have explained each answer in a simple, easy-to-understand format, highlighting important points step by step under the relevant subtopics. Students are advised to read and memorize these subtopics thoroughly. Once you understand the main concepts, you’ll be able to connect other related points with real-life examples and confidently present them in your tests and exams.

    By going through this material, you’ll gain a strong understanding of Commerce Chapter 8 along with the corresponding book back questions and answers (PDF format).

Question Types Covered:

• 1 Mark Questions: Choose the correct answer, Fill in the blanks, Identify the correct statement, Match the following 
• 2 Mark Questions: Answer briefly 
• 3, 4, and 5 Mark Questions: Answer in detail

All answers are presented in a clear and student-friendly manner, focusing on key points to help you score full marks.

All the best, Class 12 students! Prepare well and aim for top scores. Thank you!

Chapter 8

 Securities Exchange Board Of India (SEBI)

I. Choose the correct answer.

1. Securities Exchange Board of India was first established in the year _________.
a) 1988     
b) 1992     
c) 1995             
d) 1998
Answer Key:
a) 1988

2. The headquarters of SEBI is _________.
a) Calcutta
b) Bombay     
c) Chennai         
d) Delhi
Answer Key:
b) Bombay

3. Registering and controlling the functioning of collective investment schemes as _________.
a) Mutual Funds     
b) Listing     
c) Rematerialization     
d) Dematerialization
Answer Key:
a) Mutual Funds

4. SEBI is empowered by the Finance ministry to nominate _________ members on the Governing  body of every stock exchange.
a) 5     
b) 3              
c) 6         
d) 7
Answer Key:
b) 3        

5. Trading is dematerialized shares commenced on the NSE is _________.
a) January 1996      
b) June 1998          
c) December 1996          
d) December 1998
Answer Key:
c) December 1996

II. Very short answer questions.

1. Write a short notes on SEBI.
Answer Key:

• Securities and exchange Board of India (SEBI) was first established in the year 1988 as a non-statutory body for regulating the securities market.
• It was made as an autonomous body by The Government of India on 12 May 1992 and given statutory powers in 1992 with SEBI Act 1992 being passed by the Indian Parliament.

2. Write any two objectives of SEBI.
Answer Key:
Protection to the Investors:

• The capital market is meaningless in the absence of the investors.
• Therefore, it is important to protect the interests of the investors.

Checking the Insider Trading:

• Insider trading means the buying and selling of securities by directors Promoters,etc.

3. Mention the headquarters of SEBI.
Answer Key:

• SEBI has its headquarters at the business district of BandraKurla Complex in Mumbai.

4. What are the various ID proofs?
Answer Key:

• PAN card
• Voter's ID
• Passport
• Driver's license      
• bank attestation
• IT returns
• Electricity bill
• Telephone bill.

III. Short answer questions.

1. What is meant by Dematerialization?
Answer Key:

• Dematerialization is the process by which physical share certificates of an investor are taken back by the company/registrar and destroyed.
• Then an equivalent number of securities in the electronic form are credited to the investors account with his Depository Participant.
• Dematerialization is done at the request of the investor.

2. What are the documents required for a Demat account?
Answer Key:

• You need to submit proof of identity and address along with a passport size photograph and the account opening form.
• Only photocopies of the documents are required for submission, but originals are also required for verification.

3. Draw the organization structure of SEBI?
Answer Key:

 

IV. Long answer questions.

1. What are the functions of SEBI? (any 5)
Answer Key:

• Safeguarding the interests of investors by means of adequate education and guidance.
• Regulating and controlling the business on stock markets.
• Barring insider trading in securities.
• Prohibiting deceptive and unfair methods used by financial intermediaries operating in securities markets.
• SEBI issues Guidelines and Instructions to businesses concerning capital issues.
• SEBI regulates mergers and acquisitions as a way to protect the interest of investors.

2. Explain the powers of SEBI. (any 5)
Answer Key:
1. Powers Relating to Stock Exchanges & Intermediaries:

• SEBI has wide powers regarding the stock exchanges and intermediaries dealing in securities.

2. Power to Impose Monetary Penalties:

• SEBI has been empowered to impose monetary penalties on capital market intermediaries and other participants for a range of violations.

3. Power to Initiate Actions in Functions Assigned:

• SEBI has a power to initiate actions in regard to functions assigned.

4. Power to Regulate Insider Trading:

• SEBI has power to regulate insider trading or can regulate the functions of merchant bankers.

5. Powers Under Securities Contracts Act:

• For effective regulation of stock exchange, the Ministry of Finance issued a Notification on 13 September, 1994 delegating several of its powers under the Securities Contracts (Regulations) Act to SEBI.

 

Prepared By:

 

B. MUTHUKUMAR 
PG ASST COMMERCE
MKVK MATRIC HR SEC SCHOOL 
TENKASI