Which of the Following Statements Is False

question 64

Multiple Choice

Which of the following statements is false?

• A) One advantage of quoting the yield to maturity rather than the price is that the yield is independent of the face value of the bond.
• B) Unlike the case of bonds that pay coupons, for zero-coupon bonds there is no simple formula to solve for the yield to maturity directly.
• C) Because we can convert any bond price into a yield, and vice versa, bond prices and yields are often used interchangeably.
• D) The IRR of an investment in a bond is given a special name, the yield to maturity (YTM).

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Definitions:

Behavior

The actions or reactions of an organism, often in response to its environment.

Altruistic Behavior

Occurs whenever a helping individual behaves in a way that benefits another individual at a cost to its own fitness.

Hamilton

A city in Ontario, Canada, known for its industrial heritage, or referring to William D. Hamilton, a biologist who made significant contributions to the theory of evolution.

Alleles

Variants of a gene that determine distinct traits which can be passed from parents to offspring.