Which of the Following Statements Is CORRECT

question 89

Multiple Choice

Which of the following statements is CORRECT?

• A) A bond is likely to be called if its coupon rate is below its YTM.
• B) A bond is likely to be called if its market price is below its par
• Value.
• C) Even if a bond's YTC exceeds its YTM, an investor with an investment horizon longer than the bond's maturity would be worse
• Off if the bond were called.
• D) A bond is likely to be called if its market price is equal to its
• Par value.
• E) A bond is likely to be called if it sells at a discount below par.

---

Definitions:

Group Worksheet Data

Organizing related data into a group within a spreadsheet to facilitate analysis and reporting.

Hide Outline

An option in some software applications to remove the visible outline or structure from view, typically used to declutter the visual presentation.

ScreenTip

A small pop-up description that appears when a user hovers over an item or icon in a software interface.

Hyperlink

A clickable reference or navigation element in a document or web page that directs the user to another section of the document or to an entirely different document or website.