The Yield to Maturity of a One-Year,simple Loan of $400

question 14

Multiple Choice

The yield to maturity of a one-year,simple loan of $400 that requires an interest payment of $50 is

• A) 5 percent.
• B) 8 percent.
• C) 12 percent.
• D) 12.5 percent.

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Definitions:

Histogram

A graphical display of data using bars of different heights to represent the frequency of numerical data intervals.

Bin Width

The size of intervals in a histogram or bar chart, determining the range of values each bin or bar represents.

Lower Bin Limit

The minimum value within a bin or interval in frequency distribution or histogram.

Histogram

A visual chart that categorizes a collection of data points into specified intervals, indicating how often data appears within those intervals.