Which of the Following Is True?​

question 45

Multiple Choice

Which of the following is true?​

• A)​To reduce cannibalization among products,reposition a product so that it does not directly compete with the other
• B)After acquiring a substitute product,lower prices on both the products
• C)After acquiring a complementary product,raise prices on both the products
• D)​All of the above

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Definitions:

Yield-To-Maturity

The total return anticipated on a bond if it is held until it matures, including all payments from interest and principal, calculated as an annual rate.

Zero-Coupon Bond

A bond that does not pay periodic interest payments and is sold at a discount from its face value. The bond's profit comes from the difference between its purchase price and its face value at maturity.

Yield To Maturity

The total return anticipated on a bond if the bond is held until it matures, including interest payments and the difference between the bond’s purchase price and its face value.

Maturity Value

The amount payable to the holder of a financial instrument at its maturity date, including the principal and any accrued interest.