n NISM Certifications
X NISM Series X
Medium

The coupon yield of a bond with Rs 7 coupon, face value Rs 100, and market price Rs 103 is:

Practice question from NISM Series XA- Investment Adviser (Level 1) Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. 7%

    Correct answer

  2. B

    5.09%

  3. C

    8.55%

  4. D

    6.79%

Why this is the answer

Coupon yield = (Coupon / Face Value) × 100 = (7/100) × 100 = 7%.

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