ExamVeda
Login
Home

An annual interest payment divided by current price of bond is...

This question belongs to Commerce Financial Management
Financial Management
?

An annual interest payment divided by current price of bond is considered as

Answer & Solution
Correct Answer: Option A
An annual interest payment divided by current price of bond is considered as current yield. Current yield is an investment's annual income (interest or dividends) divided by the current price of the security. This measure examines the current price of a bond, rather than looking at its face value.
Examveda
Question posted by Examveda
Community

Join the Discussion

No comments yet Be the first to discuss this question.
Keep Learning

Related Questions on Financial Management

Investment is the _______________.
A. net additions made to the nation’s capital stocks B. person’s commitment to buy a flat or house C. employment of funds on assets to earn returns D. employment of funds on goods and services that are used in production process
Financial Management is mainly concerned with ______________.
A. All aspects of acquiring and utilizing financial resources for firms activities B. Arrangement of funds C. Efficient Management of every business D. Profit maximization
The primary goal of the financial management is ____________.
A. to maximize the return B. to minimize the risk C. to maximize the wealth of owners D. to maximize profit
In his traditional role the finance manager is responsible for ___________.
A. proper utilisation of funds B. arrangement of financial resources C. acquiring capital assets of the organization D. efficient management of capital
More Related Questions on Financial Management