Which of the Following Statements Is False

question 93

Multiple Choice

Which of the following statements is false?

• A) As the price paid for a bond rises,the yield declines.
• B) If you purchase stock from an individual that currently owns the stock,you are buying it in the secondary market.
• C) The yield on a bond is another term for the coupon rate on a bond.
• D) A rating of Aaa from Moody's is the highest bond rating given by that rating agency.

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Definitions:

Planned Investment

The expenditure by businesses on capital goods that are intended to increase their productive capacity in the future.

Real Gross Domestic Product

The evaluation of a nation's economic output after adjusting for any price variations, including inflation or deflation, to reveal the genuine quantity of produced goods and services.

Money Supply

The sum of all available money in an economy at a given moment, encompassing cash, coins, and bank account balances.

Real GDP

The measure of the value of economic output adjusted for price changes (inflation or deflation), reflecting the real volume of production.