Which of the Following Boxes Represents a Suspension

question 246

Multiple Choice

Which of the following boxes represents a suspension? A B C

• A)Only A represents a suspension.
• B)Only B represents a suspension.
• C)Only C represents a suspension.
• D)Each of these could represent a submicroscopic portion of a suspension.

---

Definitions:

Duration

Measures the sensitivity of a bond's price to changes in interest rates, calculated as a weighted average of the times until the bond's cash flows are received.

Yield To Maturity

The total return anticipated on a bond if the bond is held until its maturity date, including all interest payments and the repayment of principal.

Coupon Rate

The interest rate that a bond issuer will pay to a bondholder, typically expressed as an annual percentage of the bond's face value.

Duration

A measure of the sensitivity of the price of a bond or other debt instrument to a change in interest rates, usually expressed in years.