Under Which Conditions Will an Investor Demand a Larger Return

question 124

Multiple Choice

Under which conditions will an investor demand a larger return (yield) on a bond?

• A) The bond issue is upgraded from A to AA.
• B) The bond issue is downgraded from A to BBB.
• C) Interest rates decrease due to decline in inflation.
• D) None of the conditions will cause an increase in the bond's yield.

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Definitions:

Organizational Commitment

The emotional attachment, identification, and involvement an employee has with their organization, influencing their willingness to continue working there.

Job Satisfaction

A positive emotional state resulting from the appraisal of one's job or job experiences, typically influenced by various factors like work environment, compensation, and personal values.

Job Descriptive Index

A standardized survey instrument used primarily to measure employee job satisfaction in various domains.

Job Satisfaction

The level of contentment employees feel about their work, which can affect their performance and commitment.