Suppose a company's bond sold for $900 last month and this month the price is $750. The annual interest payment is $60. The current yield on this bond is
A. 11.11 percent.
B. 6.7 percent.
C. 8.0 percent.
D. 60.0 percent.
Answer: C
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A business fluctuation when the pace of economic activity is slowing down is called
A) a reduction. B) a contraction. C) a depression. D) a slowdown.
Debt accumulation by the U.S. government in the 1980s:
A. Exceeded the debt the country had accumulated over the preceding 200 years. B. Was small compared with earlier periods of history. C. Was caused by war-related expenditures. D. None of the choices are correct.
Which of the following statements is true?
A. The income of the bottom fifth of families rose 10 percent from 1970 to today. B. The income of the bottom fifth of families fell 10 percent from 1929 to today. C. Income distribution became less equal from 1929 to 1970. D. Income distribution became less equal from 1970 to today.
An increase in investment demand would be a consequence of a fall in:
a. The costs of acquiring new technology b. Expected sales of new products c. The rate of technological innovation d. The expected rate of return on investment