An investor should buy a bond when the intrinsic value of the bond is greater than its market value. The intrinsic value of a bond represents its true worth or fair value based on factors such as the bond's cash flows, interest rates, credit quality, and other relevant market conditions. If the intrinsic value of a bond is higher than its current market value, it suggests that the bond is undervalued and has the potential to provide a favorable return on investment. By purchasing the bond at a price lower than its intrinsic value, the investor can benefit from capital appreciation and potential income through coupon payments.
What is the value of number x ?
I. The HCF of x and 16 is 8.
II.The LCM of
What is the speed of a boat in still water?
Statement I: The boat covers 18 km in 3 hours downstream.
Statement II: The boat covers the ...
What is the curved surface area of a right circular cylinder?
I. The area of the base of the cylinder is 154 cm².
II. The volume of the c...
P, Q and R together invested an amount of Rs. 55,000 in the ratio of 5:2:4 for different period of time. What was the amount of profit earned ...
What is the principal?
I. The simple interest obtained on the principal after 2 years at 16% rate of interest is Rs 140.8 less than the compound ...
What is the distance between two points A and B (in km)? Which of the following statement (s) is sufficient to give the answer:
I. Travelling at ...
Who among the following among C and A is elder?
i. Age of A, 6 years hence is equal to the sum of 2/3rd of present age of C and 1/5th present a...
How many people are there in a Train? Statement I: There are 225 females in the Bus. Statement II: 25% of passengers are males and 15% are childre...
In how many days will 8 men complete a task?
Statement I: Five men, three children and two women together can complete the task in 12 days. <...
What is rate of interest percent per annum?
A. The amount becomes Rs.75,712 at compound interest after 2 years.
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