Bonds are often referred to as fixed-income securities because:
A. of the set interest rate.
B. they are much more commonly held by retirees.
C. they adjust interest payments with the inflation rate.
D. the price you pay for bonds is fixed.
A. of the set interest rate.
You might also like to view...
Suppose a Treasury bond will mature in 4 years. If the bond pays a coupon of $200 per year and will make a final par value payment of $5,000 at maturity, what is its price if the relevant market interest rate is 3%?
A) $5,185.85 B) $5,304.26 C) $5,743.42 D) $6,011.82
One difference between the short run and the long run is that perfectly competitive firms:
A. always earn positive economic profit in the short run, but never in the long run. B. can earn positive, negative, or zero economic profit in the short run, but will earn zero economic profit in the long run. C. earn zero economic profit in the short run, but will earn positive economic profit in the long run. D. always earn more economic profit in the long run.
During World War II, prisoners of war used ________ as money
A) bullets B) cowrie shells C) chocolate D) cigarettes
In the market for yen, a decrease in U.S. real interest rates tends to
A. increase excess supply. B. cause no change in equilibrium price. C. decrease equilibrium price. D. increase demand.