Which of the following is an example of moral hazard ?

Related Mcqs:

The amount today that would be needed, at prevailing interest rates, to produce a particular sum in the future is known as ?

A. future value B. fair value C. present value D. compound value E. beginning value...

Share prices will follow a random walk if ?

A. shares are overvalued B. people behave irrationally when choosing shares C. markets reflect all available information in a rational way D. shares are undervalued...

It is difficult for an actively managed investment fund to outperform an index fund because ?

A. stock markets tend to be inefficient B. all of these answers C. index funds are able to buy undervalued stocks D. actively managed funds trade more often and charge fees for their alleged expertise...

If a depositor puts Rs100 in a bank amount that earns 4 percent interest compounded annually, how much will be in the account after five years ?

A. Rs400.00 B. Rs 104.00 C. Rs 121.67 D. Rs 123.98...

An increase in the prevailing interest rate ?

A. increases the present value of future returns from investment and increases investment B. decreases the present value of future return from investment and decreases investment C. decreases the present value of future returns from investment and increase investment D. increases the present value of future returns from investment and decreases investment...