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1863. If market interest rate fall below coupon rate then bond will be sold

below its par value

above its par value

equal to return rate

seasoned price

✅ The correct answer is B.
If market interest rate fall below coupon rate then bond will be sold above its par value. The prevailing rate of interest on loans determined by the demand and supply of credit and based on the duration (the longer the duration, the higher the rate) of loan and type of security offered (the higher the quality of security, the lower the rate).

1864. Stock selling price is Rs 65, expected dividend is Rs 20 and cost of common stock is 42% then expected growth rate will be

0.1123 times

11.23%

11.23 times

Rs 11.23

✅ The correct answer is B.

1848. Investors seeking to avoid actively managing their portfolios will prefer which of the following assets?

Common stock

Commercial bank deposits

Financial futures

Real estate

✅ The correct answer is B.
Investors seeking to avoid actively managing their portfolios will prefer Commercial bank deposits. A commercial bank accepts deposits in the form of current, savings and fixed deposits.

1849. Value of payment is Rs 25 and an interest rate is 2%, then present value will be

Rs 12.54

Rs 12,500.00

Rs 12,504.00

Rs 8,400.00

✅ The correct answer is C.

1850. In regression analysis, if observed cost value is 50 and predicted cost value is 7, then disturbance term will be

✅ The correct answer is B.
In regression analysis, if observed cost value is 50 and predicted cost value is 7, then disturbance term will be 43.
Disturbance term = Observed cost value – Predicted cost value
= 50 – 7 = 43.

1851. When hackers flood a Web site with useless traffic to overwhelm the network, it is called ______.

phishing

pharming

a Denial of Service (DoS) attack

spoofing

✅ The correct answer is C.
When hackers flood a Web site with useless traffic to overwhelm the network, it is called a Denial of Service (DoS) attack. A denial-of-service attack (DoS attack) is a cyber-attack in which the perpetrator seeks to make a machine or network resource unavailable to its intended users by temporarily or indefinitely disrupting services of a host connected to the Internet.

1852. Relationship between cost and cost driver is economically plausible if goodness of fit

has meaning

has no meaning

has index values

has no index values

✅ The correct answer is A.
Relationship between cost and cost driver is economically plausible if goodness of fit has meaning. The goodness of fit test is a statistical hypothesis test to see how well sample data fit a distribution from a population with a normal distribution. In other words, it tells you if your sample data represents the data you would expect to find in the actual population.

1853. Fiscal policy is related with which of the following?

Public Revenue and Expenditure

Education for All

Import and Export

✅ The correct answer is A.
Fiscal policy is related with Public Revenue and Expenditure. In economics and political science, fiscal policy is the use of government revenue collection (mainly taxes) and expenditure (spending) to monitor and influence a nation’s economy.

1855. State the incorrect sentence

No Maturity claim is paid on the close of Term insurance

In Money Back policy interim payments are made after certain frequencies

In Money back policy on death within the policy duration full sum assured is payable without deducting the interim instalments already paid

There is no such thing as rider benefit in a policy contract

✅ The correct answer is D.
There is rider benefit in a policy contract. A rider is an insurance policy provision that adds benefits to or amends the terms of a basic insurance policy.

1857. Which of the following is a contingency product

Bonds

Life insurance

Bank Deposits

✅ The correct answer is C.
Life insurance is a contingency product. Life Insurance is a financial cover for a contingency linked with human life, like death, disability, accident, retirement etc.

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