Examveda
Examveda

Rate on debt that increases as soon market rises is classified as

A. rising bet rate

B. floating rate debt

C. market rate debt

D. stable debt rate

Answer: Option B

Solution(By Examveda Team)

Rate on debt that increases as soon market rises is classified as floating rate debt. A bond or other type of debt whose coupon rate changes with market conditions (short-term interest rates).

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