Which of the Following Are Generally True of Bonds

question 96

Multiple Choice

Which of the following are generally true of bonds?

• A) The only bond whose return equals the initial yield to maturity is one whose time to maturity is the same as the holding period.
• B) A rise in interest rates is associated with a fall in bond prices, resulting in capital gains on bonds whose terms to maturity are longer than the holding periods.
• C) The longer a bond's maturity, the smaller is the size of the price change associated with an interest rate change.
• D) Prices and returns for short-term bonds are more volatile than those for longer-term bonds.

Recognize sociology’s focus on social relations over individual psychology in explaining behaviors.

Comprehend the impact of social structures and social forces on individual behaviors and societal trends.

Understand the importance of empirical research and evidence in shaping sociological ideas and theories.

Grasp Durkheim’s contributions to sociology, especially related to social solidarity, functions, and suicide.

---

Definitions:

Other Countries

Pertains to nations different from one's own, implicating a global perspective or comparison.

Direct Foreign Investment

Occurs when a firm headquartered in one country builds or purchases operating facilities or subsidiaries in a foreign country.

Physical Assets

Tangible and material assets such as buildings, machinery, and equipment owned by a business.

International Environment

The global context within which organizations operate, including economic, social, cultural, and political factors.