Question
Reinvestment risk would not occur if:
Solution
Callable bonds have reinvestment risk because the principal can be prematurely retired. The higher the coupon, the higher the reinvestment risk, holding everything else constant. A bond is issued at par has nothing to do with reinvestment risk. So zero-coupon bonds will not have reinvestment risk.
Statement: A ≤ B; A ≤ I; B = D; I < C
Conclusion:
I. C ≤ B
II. D ≥ C
In the question, assuming the given statements to be true, find which of the conclusion (s) among given three conclusions is /are definitely true and ...
Statements: T > S > R, L ≥ D < R, L ≤ O ≤ Z
Conclusions:
I. T > L
II. S > D
III. Z ≥ R
...Statements: A > O = I ≥ C = D > K = P, P < M = R
Conclusions:
I. C > R
II. R > K
III. P ≤ O
Statement: E < F ≤ G = H, I ≥ G ≤ J ≤ K
Conclusion: I. K > E II. H > K
Statements: L # W, W % V, V $ H, H # T
Conclusions : I. V @ T II. H & W III .V # T
...Statements: H = G ≥ F, F > A ≥ B > C, C > D > E = J
Conclusions:
I. C < H
II. A > J
III. H ≥ E
Statements: F ≥ G > H; I < J ≤ H; J > K
Conclusions:
I. F > J
II. K < G
III. H > K
Statements: N $ Q, Q @ M, M % S, S % T
Conclusions : I. S # Q II. S & Q III. M & T
...Statements: J # K # L $ T & A % B % C
Conclusions : I. A @ C II. A & C �...
