You Purchased a Bond for $1,000

question 12

Multiple Choice

You purchased a bond for $1,000. At the end of a year, the bond paid interest of $90. You sold the bond for $950 after receiving the interest payment.
-Refer to the information above. What was your capital gains yield? Round your answer to the nearest tenth of a percent.

• A)9.5%
• B)-0.1%
• C)-5.0%
• D)5.3%

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Definitions:

Validly Rejected

Pertains to the lawful refusal to accept an offer, contract, or proposition based on legitimate grounds or criteria.

Nonconformity

The failure of a product or service to meet specified standards or expectations.

Reasonable Opportunity

A circumstance where an individual or party is given a fair and sufficient chance to undertake an action or fulfill an obligation.

Counteroffer

A reply to a proposal where the initial conditions are declined and alternative conditions are suggested.