An Increase in a Bond's Yield to Maturity Results in a Price

question 19

Multiple Choice

An increase in a bond's yield to maturity results in a price decline that is ________ the price increase resulting from a decrease in yield of equal magnitude.

• A) greater than
• B) equivalent to
• C) smaller than
• D) The answer cannot be determined.

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Definitions:

Production Cost Report

A document summarizing the production and cost activity within a company's manufacturing process for a specific period.

Job Order

A work authorization given to initiate a specific task or project, often associated with a job order cost system to accumulate its related costs.

Process

A series of actions or steps taken to achieve a particular end, often used within manufacturing, business strategy, or software development.

Job Order Cost System

An accounting system that tracks costs individually for each job and is often used by companies that produce custom products or jobs.