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Financial Markets MCQs – Practice Test 1 (Chapter 7)

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Learn "Security Valuation MCQs" App Download with MCQ: Type of bonds that pay coupon interest are classified as; with answers: payment bonds, forward bond, coupon bond, and interest bonds. Solve Primary & Secondary Stock Markets Quiz Questions, download Google e-Book (Free Chapter) to enhance investment decisions.

Security Valuation MCQs – Practice Test 1 PDF Download

MCQ 1: The type of bonds that pay coupon interest are classified as:

  1. forward bond
  2. payment bonds
  3. coupon bond
  4. interest bonds

MCQ 2: For given change in interest rates, the percentage change in the present value of bond is classified as:

  1. price sensitivity
  2. yield sensitivity
  3. maturity sensitivity
  4. premium sensitivity

MCQ 3: The type of bond whose present value is lesser than that of its face value is classified as:

  1. discount bond
  2. premium bond
  3. coupon bond
  4. interest bonds

MCQ 4: For an investment, the weighted average time to maturity is considered as:

  1. premium time
  2. standard time
  3. mean time
  4. duration

MCQ 5: The bonds that does not pay any interest rate are considered as:

  1. interest free bond
  2. zero coupon bond
  3. price less coupon bond
  4. useless price bonds

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