What Is the Yield on a Very Long-Term Bond with a $500

question 73

Multiple Choice

What is the yield on a very long-term bond with a $500 face value, a coupon of $35, and a current price of $650?

• A)37 percent
• B)35 percent
• C)5.4 percent
• D)7 percent
• E)17.7 percent

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Definitions:

Delivery Contract

A legal agreement specifying the terms of delivery for goods or services from a seller to a buyer.

Goods-In-Bailment

A legal term referring to the temporary transfer of possession of personal property by one party to another, with the intent that the property will be returned.

Risk Of Loss

Risk of loss refers to the responsibility for damage or destruction of goods, determining which party bears the financial burden should goods be damaged during a transaction.

Delivery Driver

A delivery driver is a person who transports goods from a seller or distributor to the customer's location.