On a coupon bond, the yield to maturity
A) always equals the coupon rate.
B) equates the present value of all the bond's payments to its price today.
C) increases when the market price of the bond increases.
D) equals the coupon payment divided by the current price of the bond.
B
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All of the following are characteristics of an oligopoly EXCEPT
A) diseconomies of scale over all ranges of output. B) small number of firms. C) high barriers to entry. D) interdependence.
Which is NOT an example of moral hazard
a. people eat more at all-you-can-eat buffets b. loggers clear-cut a tract of land when paying a fixed fee rather than when paying per tree felled c. Drivers of heavier, safer cares are more likely to run stop signs d. workers paid an hourly wage work harder than those on commission
Land, water, metals, and minerals are considered to be
a. non-scarce resources because they are "gifts of nature" b. free resources because they are "gifts of nature" c. manufactured resources because no resource is useable without labor d. natural resources that are "gifts of nature" e. renewable resources that are "gifts of nature"
If a central bank announced that it was going to decrease inflation by 5%, people revised their inflation expectations downward by 4%, and the central bank only lowered inflation by 1%, the short run Phillips curve would shift
a. right and unemployment would rise. b. right and unemployment would fall. c. left and unemployment would rise. d. left and unemployment would fall.