Perpetuities Formula and Calculations MCQs Quiz Online PDF Download

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MCQs on Perpetuities Formula and CalculationsQuiz PDF Download

MCQ: Rate of return that an investment provides its investor is classified as

  1. investment return rate
  2. internal rate of return
  3. international rate of return
  4. intrinsic rate of return

B

MCQ: Prices of bonds will be decreased if an interest rates

  1. rises
  2. declines
  3. equals
  4. none of above

A

MCQ: Value of payment is $25 and an interest rate is 2%, then present value will be

  1. 12.5 dollars
  2. 0.0008 dollars
  3. 1,250 dollars
  4. 0.8 dollars

C

MCQ: Prices of bonds will be increased if interest rates

  1. equals
  2. lump sum declines
  3. rises
  4. declines

D

MCQ: Payment if it is divided with interest rate will be formula of

  1. future value of perpetuity
  2. present value of perpetuity
  3. due perpetuity
  4. deferred perpetuity

B