Question
If a bond is issued when prevailing interest rates are
8% at Rs.1,000 par value with a 8% annual coupon. Which of the following is NOT correct?Solution
If interest rates drop to 6%, the bond will continue paying out at 8%, making it a more attractive option. Investors will purchase these bonds, bidding the price up to a premium until the effective rate on the bond equals 8%. On the other hand, if interest rates rise to 10%, the 8% coupon is no longer attractive and the bond price will decrease, selling at a discount until it's effective rate is 8%.
Who was known as the Father of Microbiology?
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Which one is an Anticoagulant Substance in the blood?
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I) Ringworm - VirusÂ
II) Rubella - BacteriaÂ
The part of the muscle which shortens to create contraction is the-
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