Which of the following statements are correct ?

A. If discount rate >  coupon rate, then present value of bond > face value

B. An annuity in which the periodic payment begins on a fixed date and continues forever is called perpetuity

C. The issuer of bond pays interest at fixed interval at fixed rate of interest to investor is called coupon payment

D. A sinking fund is a fixed payment made by a borrower to a lender at a specific date every month clear off the loan

E. The issues of bond repays the principle i.e. face value of the bond to the investor at a later date termed as maturity date

Choose the correct answer from the options given below :

B, C, E only

The correct answer is Option (3) → B, C, E only

(B) An perpetuity is a type of annuity that contains indefinitely with regular payments.

(C) The coupon payment is a perodic interest payment made by the bond issuer to the investor.

(E) The maturity date is when the bond's principle (face value) is repaid to the bond holder by the issuer.