An Investor Purchased a 10-Year Bond That Makes a $50

question 51

Multiple Choice

An investor purchased a 10-year bond that makes a $50 interest payment at the end of every six-month period until the bond matures. These interest payments represent a(an) _____. 

• A)perpetuity
• B)ordinary annuity
• C)annuity due
• D)compounded annuity
• E)discounted annuity

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Definitions:

External Gain

Benefits obtained from others or the environment due to one’s behaviors, often discussed in the context of malingering where the gain is used to explain the motivation for symptomatic behavior.

Factitious Disorder

A mental disorder in which an individual deliberately produces or exaggerates symptoms of illness in themselves for the primary purpose of assuming the sick role.

Psychological Need

An intrinsic desire pertinent to achieving mental well-being, such as the need for esteem, belonging, autonomy, and competence.

Physiological Ailments

Physical diseases or disorders that affect the body's structures or organs.