The Enforce Referential Integrity Box Should Normally Be Checked

question 69

True/False

The Enforce Referential Integrity box should normally be checked.

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Definitions:

Yield To Maturity

The total return expected on a bond if the bond is held until its maturity date.

Coupon Bond

A debt security that pays the holder a fixed interest amount (coupon) at scheduled intervals until the maturity date, when the principal amount is repaid.

Interest-Rate Risk

Interest-rate risk is the risk that changes in interest rates will negatively affect the value of an investment, particularly relevant for fixed-income securities.

Bond Duration

A measure of the sensitivity of a bond's price to changes in interest rates, representing the weighted average time until a bond's cash flows are received.