Which One of the Following Is a Correct Interpretation of a High

question 13

Multiple Choice

Which one of the following is a correct interpretation of a high school student's IQ score of 115?

• A)It will remain constant for that student for a period of at least five to six years.
• B)The student has acquired 85% of the average adult's intellectual capabilities.
• C)The student has performed better on an intelligence test than the majority of students of the same age.
• D)The student will have a harder time getting accepted to college than most students.

---

Definitions:

Term to Maturity

The remaining time until a debt security, such as a bond, reaches its repayment date at which point the principal is repaid to investors.

Coupon

In finance, a coupon refers to the interest payment received by a bondholder from the bond's issuer at specified intervals.

Market Rate of Return

The average rate of return of investments in the market over a specific period.

Coupon Bonds

Bonds that pay the holder a fixed interest payment (coupon) periodically until the maturity date, at which point the principal is repaid.