Which of These Statements Answers Why Bonds Are Known as Fixed

question 121

Multiple Choice

Which of these statements answers why bonds are known as fixed income securities?

• A)Many investors on fixed incomes buy them.
• B)Investors know how much they will receive in interest payments.
• C)Investors will not receive their principal when the bond's term is up.
• D)All of these.

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Definitions:

Express Warranty

An explicit promise made by a seller about the condition, functionality, or performance of a product.

Warranty Of Merchantability

An implicit guarantee that a product sold by a merchant meets certain quality and performance standards.

Implied Warranty

A legal term indicating that a product is guaranteed to function as it is supposed to, even if not explicitly stated.

Warranty Of Fitness

A guarantee that a product will meet a buyer's specified needs and expectations.