Which of the Following Are True for the Current Yield

question 47

Multiple Choice

Which of the following are true for the current yield?

• A) The current yield is defined as the yearly coupon payment divided by the price of the security.
• B) The formula for the current yield is identical to the formula describing the yield to maturity for a discount bond.
• C) The current yield is always a poor approximation for the yield to maturity.
• D) All of the above are true.
• E) Only A and B of the above are true.

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Definitions:

SQO Instruction

The Sequencer Output instruction in PLC programming, used for controlling a sequence of outputs based on the current step in a sequence.

Sequencer File

A file within a PLC that contains a sequence of steps or instructions that dictate the operation or control logic to automate processes.

Number of Steps

Refers to the total count of individual actions or sequences in a process or procedure, often used in programming to outline complexity or length.

U.S. Government Bonds

These are securities issued by the United States Department of the Treasury, which represent loans made by investors to the federal government.