Which of the Following Statements Is False

question 57

Multiple Choice

Which of the following statements is false?

• A) If a bond trades at a premium, its yield to maturity will exceed its coupon rate.
• B) A bond that trades at a premium is said to trade above par.
• C) When a coupon-paying bond is trading at a premium, an investor's return from the coupons is diminished by receiving a face value less than the price paid for the bond.
• D) Holding fixed the bond's yield to maturity, for a bond not trading at par, the present value of the bond's remaining cash flows changes as the time to maturity decreases.

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Definitions:

Progressive Relaxation

A relaxation technique where individual muscles are tensed then relaxed in a sequence to achieve overall relaxation.

Counterconditioning

A behavior therapy technique involving the conditioning of an unwanted behavior or response to a stimulus into a desired behavior by association with a positive action or outcome.

Transference

The process by which emotions, desires, and expectations originally associated with one person are unconsciously redirected towards another person.

Resistance

The refusal to accept or comply with something; the attempt to prevent something by action or argument.