Financial Management Paper 1

1

Long period of bond maturity leads to






2

If coupon rate is equal to going rate of interest then bond will be sold






3

Falling interest rate leads change to bondholder income which is






4

Bonds issued by corporations and exposed to default risk are classified as






5

Treasury bonds are exposed to additional risks that are included






6

Reinvestment risk of bonds is higher on






7

Bond which is offered below its face value is classified as






8

Risk of fall in income due to fall in interest rates in future is classified as






9

Bonds that have high liquidity premium are usually have






10

Redemption option which protects investors against rise in interest rate is considered as






Result

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