« previous next »

Author Question: ABC company has two bonds outstanding that are the same except for the maturity date. Bond D matures ... (Read 149 times)

dejastew

  • Hero Member
  • *****
  • Posts: 562
on: Jul 10, 2018
ABC company has two bonds outstanding that are the same except for the maturity date. Bond D matures in 4 years, while Bond E matures in 7 years. If the required return changes by 5 percent, then ________.
 
  A) bond D will have a greater change in price
  B) bond E will have a greater change in price
  C) the price of the bonds will be constant
  D) the percentage price change for the bonds will be equal

Question 2

If a manager requires greater return when risk increases, then he is said to be ________.
 
  A) risk-seeking
  B) risk-indifferent
  C) risk-averse
  D) risk-aware


asdfghjkl;

  • Sr. Member
  • ****
  • Posts: 323
Reply #1 on: Jul 10, 2018
Answer to Question 1

B

Answer to Question 2

C


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Though Candida and Aspergillus species are the most common fungal pathogens causing invasive fungal disease in the immunocompromised, infections due to previously uncommon hyaline and dematiaceous filamentous fungi are occurring more often today. Rare fungal infections, once accurately diagnosed, may require surgical debridement, immunotherapy, and newer antifungals used singly or in combination with older antifungals, on a case-by-case basis.

Did you know?

In 2012, nearly 24 milliion Americans, aged 12 and older, had abused an illicit drug, according to the National Institute on Drug Abuse (NIDA).

Did you know?

Alzheimer's disease affects only about 10% of people older than 65 years of age. Most forms of decreased mental function and dementia are caused by disuse (letting the mind get lazy).

Did you know?

Between 1999 and 2012, American adults with high total cholesterol decreased from 18.3% to 12.9%

Did you know?

Eat fiber! A diet high in fiber can help lower cholesterol levels by as much as 10%.

Three bonds separate sequential α carbons in a polypeptide chain Three bonds separate sequential α carbons in a polypeptide chain
How many double bonds they contain How many double bonds they contain
Plastic Container Expiry Date Plastic Container Expiry Date
Covalent bond Covalent bond
What atomic or hybrid orbital on P make up the sigma bond between P and Cl in phosphorous ... What atomic or hybrid orbital on P make up the sigma bond between P and Cl in phosphorous ...
During a period of high power demand, the voltage output of the power company is reduced by ... During a period of high power demand, the voltage output of the power company is reduced by ...
Video: ETC Protein Complexes & Chemiosmosis (Total ATP Production and ATP Synthase)

For a complete list of videos, visit our video library