Mock Exam 1 from BPP

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February 13, 2019 at 11:43 am #504998
acca3008
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Question 6

Q: In relation to irredeemable security paying a fixed rate of interest, which statement is correct?

A: As risk rises, the MV of security will fall to ensure investor receive an increase yield.

Please could you explain?

Thanks
February 13, 2019 at 8:28 pm #505038
acca3008
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Hi John,

Just realised that you gave a very well explained solution in the revision lecture.

Thanks
February 14, 2019 at 7:39 am #505074
John Moffat
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You are welcome 🙂
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