Question
In each of the following questions, a sentence is given
with four parts marked (a), (b), (c), and (d). One of these parts may contain an error. Identify the part that contains the error. If the sentence is grammatically correct and free from error, select (e) No error as the answer. Integrity in public life (a) requires that actions (b) are consistent (c) with stated principles. (d) No error (e)Solution
Concept: Subjunctive Mood After verbs like: Require Recommend Suggest Demand We use base verb, not are. Correct form: Requires that actions be consistent
Which type of bond allows the holder to convert it into a specified number of equity shares?
BankCo holds debt securities:
• Portfolio A: Government bonds held to collect contractual interest/principal.
• Portfolio B: Corporate...
A financial instrument was issued at a discount. Principal ₹10,00,000, issue proceeds ₹9,40,000, life 5 years. Using effective interest method, if e...
A zero-coupon bond with a face value of ₹1,000 matures in 5 years. If the market yield is 8%, what is its present value? (PV factor for 5 years @ 8% i...
A bond with a face value of ₹1,000, 5% annual coupon, and maturity of 5 years is sold at ₹950. What does this price suggest?
Zero-coupon bonds are issued at:
Which of these explain effective interest method for amortisation of premium/discount on bonds?
The duration of a bond is a measure of its:
An insurance company invests in a ₹1,000 face value bond carrying a 7% annual coupon, maturing in 10 years. Market interest rates fall to 5% soon afte...
Bond face value ₹1000, coupon 10%, maturity 5 years, YTM 12%. Price = ? (PV factors: 3.605 for annuity, 0.567 for single sum)
Relevant for Exams:
