Question
1. Spot rate 1 US $ = 48.0123 180 days Forward rate for 1 US $ = 48.8190 Annualized financing cost for a half year
1. Spot rate 1 US $ = 48.0123
180 days Forward rate for 1 US $ =
48.8190
Annualized financing cost for a half year = 18%
Annualized financing cost for a half year - US $ = 8.977%
Is there any exchange probability? In the event that yes how an arbitrageur can exploit the
circumstance, in the event that he will get ' 40,78,000 or US $83,312.
2. - is the bonds given at an impressive rebate and reimbursed at standard.
a) Deep rebate bond b) Callable bond
b) Floating rate note d) Junk securities
3. Which of coming up next is a PSU bond?
a) Cumulative Interest bonds b) Step up bonds
c) Tax free bonds d) Monthly bring bonds back
4. - are given by a gathering of worldwide banks.
a) Domestic bonds b) Foreign bonds
c) Euro bonds d) Junk bonds
5. YTM is the most generally utilized measure to know the profit from -
a) Equity b) Derivatives c) Bonds d) Preference shares
6. - is the rebate rate that makes present estimation of single money inflow to cost of the bond.
a) Current yield b) YTC
c) YTM d) Spot loan cost
7. YTC is utilized on account of - bonds.
a) Irredeemable b) Callable bonds
c) Redeemed on development d) Convertible
8. Security value yield relationship is alluded to as -
a) Concave b) Convex
c) Linear d) Rectangular hyperbola
9. Bond valuing hypotheses was presented by
a) Harry Markowitz b) Kritzman
c) F.Amling d) Burton G.Malkiel
10. Security cost will move - to advertise interest changes.
a) Inversely b) Positively
c) Constant d) Randomly
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