Risk of fall in income due to fall in interest rates in future is classified as__________?
A. Income risk
B. Investment risk
C. Reinvestment risk
D. Mature risk
Finance Mcqs
If coupon rate is equal to going rate of interest, then bond will be sold________?
If coupon rate is equal to going rate of interest, then bond will be sold________?
A. At par value
B. Below its par value
C. More than its par value
D. Seasoned par value
Long period of bond maturity leads to_________?
Long period of bond maturity leads to_________?
A. More price changes
B. Stable prices
C. Standing prices
D. Mature prices
Projects which are mutually exclusive but different on scale of production or time of completion then the___________?
Projects which are mutually exclusive but different on scale of production or time of completion then the___________?
A. External return method
B. Net present value of method
C. Net future value method
D. Internal return method
If stock market price is higher than strike price so call option____________?
If stock market price is higher than strike price so call option____________?
A. Price will be lower
B. Rate will be higher
C. Price will be higher
D. Rate will be lower
Current option price is added to present value of portfolio for calculating_________?
Current option price is added to present value of portfolio for calculating_________?
A. Future value of portfolio
B. Current value of stock
C. Future value of stock
D. Present value of portfolio
Rate of required return by debt holders is used for estimation the__________?
Rate of required return by debt holders is used for estimation the__________?
A. Cost of debt
B. Cost of equity
C. Cost of internal capital
D. Cost of reserve assets
In retention growth model, payout ratio is subtracted from one to calculate___________?
In retention growth model, payout ratio is subtracted from one to calculate___________?
A. Present value ratio
B. Future value ratio
C. Retention ratio
D. Growth ratio
Interest rates, tax rates and market risk premium are factors which an/a_____________?
Interest rates, tax rates and market risk premium are factors which an/a_____________?
A. Industry cannot control
B. Industry cannot control
C. Firm must control
D. Firm cannot control
Double declining balance method and sum of years digits are included in__________?
Double declining balance method and sum of years digits are included in__________?
A. Yearly method
B. Single methods
C. Double methods
D. Accelerated methods