Which of the Following Will Increase If the Coupon Rate

question 57

Multiple Choice

Which of the following will increase if the coupon rate increases?
I.face value
II.market value
III.yield-to-maturity
IV.current yield

• A) I and II only
• B) III and IV only
• C) I, II, and III only
• D) II, III, and IV only
• E) I, II, III, and IV

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Definitions:

Democratic Republic

A form of government where supreme power lies with citizens who vote for representatives to make laws and policies on their behalf, combining elements of democracy and republicanism.

Totalitarianism

A political system where the state recognizes no limits to its authority and strives to regulate every aspect of public and private life.

Authoritarianism

A form of government characterized by strong central power and limited political freedoms. Individual freedoms are subordinate to the state and there is no constitutional accountability under an authoritarian regime.

Oligarchy

A form of government where power effectively rests with a small number of people, distinguished by royalty, wealth, family ties, education, corporate, or military control.