A. Required interest rate
B. Quoted risk-free interest rate
C. Liquidity risk-free interest rate
D. Premium risk-free interest rate
Related Mcqs:
- An inflation free rate of return and inflation premium is two components of_________?
A. Quoted rate
B. Unquoted rate
C. Steeper rate
D. Portfolio rate - According to market risk premium, an amount of risk premium depends upon investor______________?
A. Risk taking
B. Risk aversion
C. Market aversion
D. Portfolio aversion - Term structure premium, an inflation of bond and bond default premium are included in_________________?
A. Risk factors
B. Premium factors
C. Bond buying factors
D. Multi model - An inflation rate includes in bond’s interest rates is one which is inflation rate________?
A. At bond issuance
B. Expected in future
C. Expected at time of maturity
D. Expected at deferred call - In cash flow estimation and risk analysis, real rate will be equal to nominal rate if there is__________?
A. No inflation
B. High inflation
C. No transactions
D. No acceleration - An effect of interest rate risk and investment risk on a bond’s yield is classified as_________?
A. Reinvestment premium
B. Investment risk premium
C. Maturity risk premium
D. Defaulter’s premium - Interest rates, tax rates and market risk premium are factors which an/a_____________?
A. Industry cannot control
B. Industry cannot control
C. Firm must control
D. Firm cannot control - Real interest rate and real cash flows do not include_____________?
A. Equity effects
B. Debt effects
C. Inflation effects
D. Opportunity effects - Sum of market risk and diversifiable risk are classified as total risk which is equivalent to_______________?
A. Sharpe’s alpha
B. Standard alpha’s
C. Alpha’s variance
D. Variance - Risk affects any firm with factors such as war, recessions, inflation and high interest rates is classified as____________?
A. Diversifiable risk
B. Market risk
C. Stock risk
D. Portfolio risk
