IT Increases the Number of Middle Managers

question 16

True/False

IT increases the number of middle managers.

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Definitions:

Short-Term Bond

A bond that matures in a short period, usually less than five years, making it less sensitive to interest rate changes compared to long-term bonds.

Default Risk Premium

The additional return that investors require to compensate them for the risk of default by the borrower.

Par Value

The face value of a bond or stock, representing the amount that the issuer agrees to pay at maturity or the base value of a stock set by the issuing company.

Coupon Rate

The interest rate stated on a bond or other fixed-income security, representing the periodic payment to bondholders, usually expressed as a percentage of the principal.