Which of the Following Is Not a Reason Investors Purchase

question 19

Multiple Choice

Which of the following is not a reason investors purchase bonds?

• A) Conservative investment
• B) Pay periodic income
• C) May be convertible
• D) Have high risk and return

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Definitions:

Demand Schedule

A table listing various quantities of a good or service that consumers are willing to purchase at different price levels, illustrating the relationship between price and quantity demanded.

Price Taker

A seller (or buyer) that is unable to affect the price at which a product or resource sells by changing the amount it sells (or buys).

Price Maker

A market participant that has the power to influence the price of a product or service by controlling its supply, its demand, or both.

Equilibrium Price

The price at which the quantity of a good or service demanded by consumers is equal to the quantity supplied by producers, leading to a market balance.