96、An investor purchases a stock at $60 and at the same time, sells a 3-month call on the stock. The short call has a strike price of $65 and a premium of $3.60. The risk-free rate is 4%. The breakeven underlying stock price at expiration is closest to: Select exactly 1 answer(s) from the following:
A. $55.85. B. $56.40. C. $60.80. D. $61.40.
97、If market interest rates rise, the price of a callable bond, compared to an otherwise identical option-free bond, will most likely: Select exactly 1 answer(s) from the following:
A. increase by less than the option-free bond. B. decrease by less than the option-free bond. C. decrease by more than the option-free bond. D. decrease by the same amount as the option-free bond.
98、A U.S. investor who purchases an option-free bond with a 7% coupon rate, maturing in 20 years, and issued by a U.S.-based company is most likely exposed to: Select exactly 1 answer(s) from the following: A. sovereign risk and credit risk. B. event risk and interest rate risk. C. volatility risk and yield curve risk. D. interest risk and exchange-rate risk.
99、All else equal, an increase in expected yield volatility is most likely to result in an increase in the price of a(n): Select exactly 1 answer(s) from the following:
A. putable bond. B. callable bond. C. option-free bond selling at a discount to par. D. option-free bond selling at a premium to par.
100、Compared with an otherwise identical amortizing security, a zero-coupon bond will most likely have: Select exactly 1 answer(s) from the following:
A. less interest rate risk and more reinvestment risk. B. less reinvestment risk and more interest rate risk. C. the same reinvestment risk and less interest rate risk. D. the same interest rate risk and more reinvestment risk. | 
发表于 2008-11-6 15:05
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