Question
A bank borrows Rs.50 crore from call money market on a daily basis. It invests in 5-year Government of India bonds with YTM of 7.10% having market value of Rs.40 crore. The bank plans to sell these bonds within 20 days. The bank faces the following risk in this case?
More Financial Management Questions
- What is the CRAR ratio of scheduled commercial banks (SCBs) at end March 2024 according to the RBI Financial Stability Report?
- A setup in which group of individuals or entities decides to pool resources towards fulfilling a debt or financing a single borrower wherein the setup is g...
- According to the MSMED Act, 2006, if a buyer fails to make payment to an MSME supplier within the stipulated period, what rate of interest is applicable on...
- What is the investment limit for Foreign Portfolio Investors (FPI) in government securities (Gsecs) as announced by the RBI for the fiscal year 2024-25?
- For an enterprise to be classified as small enterprise under MSME Act, the annual turnover should not be more than _______
- Which of the following is NOT a difference between a commercial bank and a cooperative bank?
- Which financial ratio is used to assess a company’s ability to cover its short-term liabilities using only its most liquid assets?
- The Unified Payments Interface (UPI)-like system developed by NPCI International Payments Limited (NIPL) will be implemented in which country following a r...
- What is "Flipping" in the context of entrepreneurship?
- Consider the following statements regarding the World in the Medical Tourism Index: 1. India is ranked 10th out of the top 46 countries in the World in...
Relevant for Exams:
Hey! Ask a query
Please enter email id
The email must be a valid email address.
Please enter Mobile Number
Please enter valid Mobile Number
Please enter your Doubt
