Start learning 50% faster. Sign in now
● Statement 1 is correct: The twin factors that affect a bond's price are inflation and changing interest rates. A rise in either interest rates or the inflation rate will tend to cause bond prices to drop. Inflation and interest rates behave similarly to bond yields, moving in the opposite direction from bond prices. In short, inflation makes interest rates go up. This in turn makes bond values go down. Exception- A Bond with a fixed coupon rate will hold the same interest rate, no matter what happens in the market. ● Statement 2 is correct: Unlike stocks, the principal value of a bond is returned to the investor in full at maturity. This can make bonds attractive to risk-averse investors who are concerned about losing their capital. Although bonds are often viewed as a capital preservation tool, they also offer opportunities for capital appreciation.
A car running with a speed of ‘x’ m/sec makes 7 rounds of a circular field having radius 21 metres, in 12 seconds. Find the time taken by car to cov...
Sheetal rides a bike at an average speed of 40 kmph and reaches her destination in 5 hours. Hemlata covers the same distance in 4 hrs. If Sheetal increa...
A car travels from A to B at a speed of 60 km/h, and returns from B to A at a speed of 40 km/h. What is the average speed of the car for the entire jour...
If a person walks 20% more than of his usual speed, reaches his distance 90 minutes before. If the destination is 459 km away, then the usual speed of a...
A man travels to his destination in 8 hours at his normal speed. If his speed decreases by (1/10) , he travels 40 km less in the same time. Determine hi...
1500 metres long train crosses a man who is moving in the same direction with a certain speed, in 50 seconds. If the same train can cross a tree in 15 s...
A man travelled a total distance of 400 km. He travelled first 300 km on car with a speed of 60 km/h and rest of the distance on bike whose speed is 40 ...
Three runners A, B and C run a race, with runner A finishing 12 meters ahead of runner B and 18 meters ahead of runner C, in another race of same type r...
A person crosses a 1800 m long street in 5 min. What is his speed (in km/h)?