If the Age Structure of a Country Shows a Large

question 28

Multiple Choice

If the age structure of a country shows a large base and a tapering shape,we would guess that the population of this country will ________.

• A)stay the same as it is now
• B)decline in numbers
• C)increase in numbers
• D)We cannot predict population change using age structure.

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Definitions:

Preferred Stock

A class of ownership in a corporation with a higher claim on assets and earnings than common stock, usually with dividends that are paid out before those to common stockholders.

Common Stock

A type of security that signifies ownership in a corporation, entitling the holder to a share of the company's assets and profits.

Pre-Tax Cost of Debt

The interest rate a company pays on its borrowings before taking into account any tax deductions.

Zero-Coupon Bonds

Zero-coupon bonds are debt securities that are issued at a discount to their face value and don’t pay interest before maturity; instead, investors receive the face value at maturity.