Yield Spreads Are Quoted in Terms of Basis Points

question 108

Multiple Choice

Yield spreads are quoted in terms of basis points.Which of the following is true for basis points?

• A) 10 basis points = 10%
• B) 100 basis points = 1%
• C) 1 basis point = 1%
• D) 100 basis points = 100%

Understand the purpose and process of negotiation rulemaking (reg-neg) and its impact on the rulemaking process.

Comprehend the powers of administrative agencies and the basis for their creation, including the establishment of the first federal administrative agency.

Understand the limits on agency power and the statutory, political, and judicial constraints.

Grasp the publication process and effective dates for new agency rules and regulations.