Holding Other Factors Constant, the Interest-Rate Risk of a Coupon

question 65

Multiple Choice

Holding other factors constant, the interest-rate risk of a coupon bond is higher when the bond's

• A) term to maturity is lower.
• B) coupon rate is lower.
• C) yield to maturity is higher.
• D) term to maturity is lower and yield to maturity is higher.
• E) None of the options are correct.

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Definitions:

Hygiene Factors

In the job context are sources of job dissatisfaction.

Organizational Policies

The formal guidelines and rules established by an organization to govern actions and decisions in the workplace.

Quality Of Supervision

The extent to which supervisory practices meet or exceed employee expectations, impacting job satisfaction and performance.

Working Conditions

The environment, terms, and circumstances under which an individual works, including aspects such as hours, workspace, and safety.