Which of the Following Expressions Is Correct

question 20

Multiple Choice

Which of the following expressions is correct?

• A)B = + BR
• B)BR = + B
• C) = B + BR
• D) = -BR - B

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Definitions:

Maturity

The final payment date of a loan or other financial instrument, at which point the principal (and all remaining interest) is due to be paid.

Annual Coupon

The interest payment made to bondholders once a year, based on the bond's face value.

Yield To Maturity

The complete return expected from holding a bond until it reaches its maturity.

Market Price

The price for an asset or service in the market at the present time.