Which of the Following Statements Is True

question 72

Multiple Choice

Which of the following statements is true?

• A) Convertible bonds offer higher yields than similar nonconvertible bonds.
• B) Putable bonds offer higher yields than similar nonputable bonds.
• C) Bonds with call options must offer higher interest rates than similar noncallable bonds.
• D) All Treasury securities offer lower rates than any securities issued by business firms.
• E) All of the above statements are true.

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Definitions:

Functional Analysis

In behaviorism, a description of how a behavior is a function of the environment of the person or animal that performs it.

Empiricism

The philosophical perspective that knowledge comes primarily from sensory experience and observation.

Operant Conditioning

Skinner’s term for the process of learning in which an organism’s behavior is shaped by the effect of the behavior on the environment.

Respondent Conditioning

Skinner’s term for classical conditioning.