Consider a Security with a Duration of 2

question 41

Multiple Choice

Consider a security with a duration of 2.78 years. The current interest rate level is 10 per cent p.a. How does the price of the security change if interest rates decrease by 100 basis points (round to two decimals) ?

• A) The price of the security will decrease by 1 per cent.
• B) The price of the security will increase by 1 per cent.
• C) The price of the security will decrease by 2.50 per cent.
• D) The price of the security will increase by 2.50 per cent.

Identify the factors that can increase or decrease the marginal utility of a good.

Understand the role of utility in economic decision-making and welfare analysis.

Analyze the effects of external factors on utility and consumption patterns.

Understand Freud's psychodynamic theory including the roles of the id, ego, and superego.

---

Definitions:

Bundle of His

A collection of heart muscle cells specialized for electrical conduction that transmits impulses from the AV node to the ventricles of the heart.

Diastolic Murmur

A heart murmur heard during the diastole phase of the cardiac cycle, often indicating a valve disorder.

Systolic Murmur

A heart murmur occurring during the systolic phase of the cardiac cycle, often indicating an underlying heart condition.

Precordium

The region on the anterior surface of the body covering the heart and lower part of the thorax.