Use the Following Figure to Answer the Question

question 24

Multiple Choice

Use the following figure to answer the question :

-The steeply upward sloping yield curve in the figure above indicates that ________ interest rates are expected to ________ in the future.

• A)short-term;rise
• B)short-term;fall moderately
• C)short-term;remain unchanged
• D)long-term;fall moderately

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Definitions:

Linkages

This term refers to connections or relationships between different sectors or elements within an economy or between different economies.

Aggregation

The process by which smaller investment proposals of each of a firm’s operational units are added up and treated as one big project.

Investment Requirement

The minimum amount of money needed to invest in a particular venture, fund, or project.

Financial Plan

A comprehensive evaluation of an individual's or organization's current and future financial state by using currently known variables to predict future income, asset values, and withdrawal plans.