If a Bond Is Priced at Par Value,then

question 20

Multiple Choice

If a bond is priced at par value,then:

• A) it has a very low level of default risk.
• B) its coupon rate equals its yield to maturity.
• C) it must be a zero-coupon bond.
• D) the bond is quite close to maturity.

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Definitions:

Indirect Conflict Management

A strategy that addresses disputes by using intermediaries or indirect methods, rather than confronting parties directly.

Negotiation Pitfall

A common mistake or obstacle that can negatively impact negotiations or lead to unsatisfactory outcomes.

Reluctant

Feeling or showing hesitation, unwillingness, or disinclination to do something.

Principled Negotiation

A negotiation strategy that focuses on mutual interests and principles rather than positions, aiming for mutually beneficial outcomes.