When Interest Rates Change, Bond Yields Adjust Through

question 100

Multiple Choice

When interest rates change, bond yields adjust through:

• A)changes in present value of the principal.
• B)changes in price.
• C)changes in the term to maturity.
• D)changes in the coupon payment.

---

Definitions:

Buyout Price

The amount payable to a partner on his or her dissociation from a partnership, based on the amount distributable to that partner if the firm were wound up on that date, and offset by any damages for wrongful dissociation.

Capital Contribution

Financial or other assets provided by partners or shareholders to a business, either initially or to support operations or expansion.

Heirs Entitled

Individuals designated by law or by a will to inherit property or assets from a deceased person's estate.

Exchange Of E-Mail

The act of sending and receiving messages through electronic mail systems.