Type of options that permit bond holder to buy stocks at stated price are classified as______?
B. Guarantee
C. Warrants(Correct)
D. Convertibles
B. Guarantee
C. Warrants(Correct)
D. Convertibles
Bonds and Bond Valuation
B. Guarantee
C. Warrants(Correct)
D. Convertibles
An interest rate which is used in calculation of cash flows of bonds is called______________?
An interest rate which is used in calculation of cash flows of bonds is called______________?
A. Required rate of redemption
B. Required rate of earning
C. Required rate of return
D. Required option
If market interest rate rises above coupon rate, then bond will be sold_____________?
B. Seasoned price
C. Below its par value(Correct)
D. Above its par value
If market interest rate rises above coupon rate, then bond will be sold_____________? Read More »
Bonds and Bond Valuation, Finance Mcqs, Financial Management McqsType of bonds that are issued by foreign governments or foreign corporations are classified as__________?
B. Zero bonds
C. Foreign bonds(Correct)
D. Government bonds
Rate of return (in percentages) consists of___________?
B. Return yield + stable yield
C. Return yield + unstable yield
D. Par value + market value
Rate of return (in percentages) consists of___________? Read More »
Bonds and Bond Valuation, Finance Mcqs, Financial Management McqsIf market interest rate falls below coupon rate then bond will be sold__________?
B. Above its par value(Correct)
C. Equal to return rate
D. Seasoned price
If market interest rate falls below coupon rate then bond will be sold__________? Read More »
Bonds and Bond Valuation, Finance Mcqs, Financial Management McqsYield of interest rate which is below than coupon rate, this yield is classified as_________?
B. Yield to call(Correct)
C. Yield to earning
D. Yield to investors
An effect of interest rate risk and investment risk on a bond’s yield is classified as_________?
An effect of interest rate risk and investment risk on a bond’s yield is classified as_________?
A. Reinvestment premium
B. Investment risk premium
C. Maturity risk premium
D. Defaulter’s premium
Coupon payment is calculated with help of interest rate, then this rate considers as________?
Coupon payment is calculated with help of interest rate, then this rate considers as________?
A. Payment interest
B. Par interest
C. Coupon interest
D. Yearly interest rate
Coupon payment of bond which is fixed at time of issuance____________?
Coupon payment of bond which is fixed at time of issuance____________?
A. Remains same
B. Becomes stable
C. Becomes change
D. Becomes low
Coupon payment of bond which is fixed at time of issuance____________? Read More »
Bonds and Bond Valuation, Finance Mcqs, Financial Management Mcqs