If the Annual Interest Rate Printed on the Face of a Bond

question 142

Multiple Choice

If the annual interest rate printed on the face of a bond is 7 percent,the face value of the bond is $1,000,and the current market price of the bond is $250,what is the current yield on the bond?

• A)25 percent.
• B)14 percent.
• C)28 percent.
• D)18 percent.

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Definitions:

Blood-Brain Barrier

A selective permeability barrier that protects the brain from foreign substances in the blood that may injure the brain.

Cerebrospinal Fluid

The clear, colorless body fluid found in the brain and spinal cord, protecting and nourishing them.

Myelin Sheath

A fatty layer that surrounds the axons of some neurons, providing insulation and increasing the speed of electrical transmission along the nerve.

CNS

Central Nervous System, comprising the brain and spinal cord, responsible for processing information and controlling body functions.