Convexity Is a Gage for Which of the Following

question 4

Multiple Choice

Convexity is a gage for which of the following?

• A) profitability
• B) return
• C) sensitivity
• D) duration

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Definitions:

Condition Subsequent

A future event or circumstance that, if it occurs, may terminate a party's obligation under a contract.

Constructive Condition

An implied condition in contracts that must be met before the obligation of the other party becomes due, even if it is not explicitly stated in the contract itself.

Impracticability

A doctrine that excuses a party from performing a contract when unforeseen events make performance excessively difficult or expensive.

Good Faith

Good Faith is the concept of acting with honesty and sincerity without any intention to defraud or seek unfair advantage.