Match Each Term with the Correct Statement Below

question 41

Multiple Choice

Match each term with the correct statement below.
-Included within the method declaration parentheses

• A)return statement
• B)header
• C)instance variables
• D)method’s signature
• E)formal parameters
• F)static method
• G)data fields
• H)parameter type
• I)class user

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Definitions:

Duration

A measure of the sensitivity of a bond's price to changes in interest rates, representing the weighted average of the time until a bond's cash flows are received.

Basis Points

A unit of measure used in finance to describe the percentage change in the value or rate of a financial instrument, where one basis point is equal to 1/100th of 1%.

Modified Duration

A measure of the sensitivity of a bond's price to changes in interest rates, adjusted to account for changes in yield.

Market Yield

Refers to the expected yield of a bond based on its current price in the market, which can fluctuate with changes in interest rates and market conditions.