Which of the Following Bonds Will Be Most Sensitive to a Change

question 89

Multiple Choice

Which of the following bonds will be most sensitive to a change in interest rates?

• A) a ten-year bond with a $2,000 face value whose yield to maturity is 5.8% and coupon rate is 5.8% APR paid semiannually
• B) a 15-year bond with a $5,000 face value whose yield to maturity is 7.4% and coupon rate is 6.2% APR paid annually
• C) a 20-year bond with a $3,000 face value whose yield to maturity is 6.0% and coupon rate is 5.4% APR paid semiannually
• D) a 30-year bond with a $1,000 face value whose yield to maturity is 5.5% and coupon rate is 6.4% APR paid annually

Navigate through records using different views and understand how to manipulate data within these views.

Recognize the process and importance of designing a table, including adding fields, renaming fields, and changing field properties.

Comprehend the use and functionality of the Form and Report Wizards and the significance of customization in database design.

Understand the use of Access templates to create databases and the roles of different types of templates.

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Definitions:

Consumption Tax

A tax on the purchase of goods and services, levied at the point of sale.

Income Tax

A tax levied by governments on the income generated by businesses and individuals within their jurisdiction.

Household Spending

The total expenditure by households in an economy on consumption-related items over a certain period.

Means-Testing

The procedure to determine eligibility for government assistance or services based on the applicant's financial means or income level.