Holding the Expected Return on Bonds Constant,an Increase in the Expected

question 148

Multiple Choice

Holding the expected return on bonds constant,an increase in the expected return on common stocks would ________ the demand for bonds,shifting the demand curve to the ________.

• A)decrease;left
• B)decrease;right
• C)increase;left
• D)increase;right

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Definitions:

Conforming Goods

Goods that conform to contract specifications.

Contract Specifications

Detailed terms and conditions outlined in a contract that specify the requirements of the agreement.

Good Faith

A fundamental principle in contracts requiring parties to deal with each other honestly and without ulterior motives.

Uniform Commercial Code

A comprehensive set of laws governing commercial transactions in the United States, aimed at harmonizing state laws.