Reinvestment risk of bonds is higher on__________?
Reinvestment risk of bonds is higher on__________? A. Short maturity bonds(Correct) B. High maturity bonds C. High premium bonds D. High inflated bonds
Reinvestment risk of bonds is higher on__________? A. Short maturity bonds(Correct) B. High maturity bonds C. High premium bonds D. High inflated bonds
Type of bonds that pays no coupon payment but provides little appreciation are classified as______________? A. Depreciated bond B. Interest bond C. Zero coupon bond(Correct) D. Appreciation bond
Bonds issued by small companies tend to have_____________? A. High liquidity premium(Correct) B. High inflation premium C. High default premium D. High yield premium
Coupon rate of bond is also called____________? A. Nominal rate B. Premium rate C. Quoted rateD. Both a and c
An increasing in interest rate leads to decline in value of__________? A. Junk bonds B. Outstanding bonds(Correct) C. Standing bonds D. Premium bonds
Bonds issued by government and backed by Pak government are classified as_________? A. Issued security B. Treasury bonds(Correct) C. U.S bonds D. Return security
Value generally promises to pay at maturity date and a firm borrows is considered as bond’s__________? A. Bond value B. Per value C. State value D. Par value(Correct)
Maturity date decides at time of issuance of bond and legally permissible is classified as____________? A. Original maturity(Correct) B. Permanent maturity C. Artificial maturity D. Valued maturity
Bonds issued by local and state governments with default risk are____________? A. Municipal bonds(Correct) B. Corporation bonds C. Default bonds D. Zero bonds
Bond that has been issued in very recent timing is classified as_______? A. Mature issue B. Earning issue C. New issue(Correct) D. Recent issue