Author Question: If a bond is selling for its face value, which of the following statements is TRUE? A) The coupon ... (Read 61 times)

charchew

  • Hero Member
  • *****
  • Posts: 579
If a bond is selling for its face value, which of the following statements is TRUE?
 
  A) The coupon rate and the yield to maturity are the same.
  B) The par value is less than the face value.
  C) This is only possible if this is a zero coupon bond.
  D) All of the statements above are true.

Question 2

Which of the following is not an example of risk reduction?
 
  A)
 
  Wearing seat-belts
  B)
 
  Looking both ways before you cross the street
  C)
 
  Purchasing homeowner's insurance
  D)
 
  Installing a smoke detector



carojassy25

  • Sr. Member
  • ****
  • Posts: 299
Answer to Question 1

A

Answer to Question 2

C



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

The average older adult in the United States takes five prescription drugs per day. Half of these drugs contain a sedative. Alcohol should therefore be avoided by most senior citizens because of the dangerous interactions between alcohol and sedatives.

Did you know?

According to research, pregnant women tend to eat more if carrying a baby boy. Male fetuses may secrete a chemical that stimulates their mothers to step up her energy intake.

Did you know?

In the United States, congenital cytomegalovirus causes one child to become disabled almost every hour. CMV is the leading preventable viral cause of development disability in newborns. These disabilities include hearing or vision loss, and cerebral palsy.

Did you know?

Most childhood vaccines are 90–99% effective in preventing disease. Side effects are rarely serious.

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

For a complete list of videos, visit our video library