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The ____ Is the Vertical Distance from One Step to Another

question 26

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The ____ is the vertical distance from one step to another.


Definitions:

Default Risk Premium

The additional amount a borrower must pay to compensate the lender for assuming the risk that the borrower may default on the loan.

Clean Price

The price of a bond excluding any accrued interest; the price the bond is actually quoted at in the financial markets.

Call Provision

A clause in a bond or other fixed-income security that allows the issuer to repay the bond before its maturity date.

Canada Yield Curve

A plot of the yields on Government of Canada notes and bonds relative to maturity.

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