Which of the Following Statements Is Correct

question 2

Multiple Choice

Which of the following statements is correct?

• A)Bond prices and interest rates are not related.
• B)When a bond's yield equals the coupon rate, the bond sells at a premium.
• C)When a bond's yield is greater than the coupon rate, the bond sells above par.
• D)When a bond's yield is less than the coupon rate, the bond sells above par.

Understand the concept of production in economics.

Understand the distinction between economic profit and accounting profit.

Analyze production technologies using inputs of capital and labor.

Identify capital-intensive and labor-intensive technologies.

---

Definitions:

Concept

An abstract idea or a mental symbol that typically represents a class of things or phenomena.

Referent

The real object or item in existence that is signified or represented by a word or expression.

Equivalent

Equal in value, measure, force, effect, significance, etc.

Propositions

Assertions or claims that can be evaluated as true or false, serving as the fundamental building blocks of logical arguments.