The Current Yield Is Equal to

question 73

Multiple Choice

The current yield is equal to

• A)the coupon divided by the market price of the bond.
• B)the yield to maturity, if the bond is a coupon bond.
• C)the coupon divided by the par value of the bond.
• D)the market price of the bond divided by its par value.

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Definitions:

Entrepreneurs

Visionaries who identify market gaps and deploy resources innovatively to establish new businesses or revamp existing ones.

Political Response

Political response refers to the actions or reactions of government bodies or political leaders to events, crises, or public demands.

Reactive

describes a response or action that is taken as a result of an external stimulus, rather than initiated by proactive planning.

Proactive

Pertains to taking initiative and acting in anticipation of future problems or needs.