The Return on Bonds Currently Held Will Be More Favorable

question 97

Multiple Choice

The return on bonds currently held will be more favorable if interest rates ________ over the period you hold the bonds.

• A) increase
• B) decrease
• C) fluctuate
• D) remain the same

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Definitions:

Korean Conflict

Refers to the Korean War (1950-1953), a military conflict between North and South Korea, with significant involvement from the United Nations and China.

United Nations

Organization of nations to maintain world peace, established in 1945 and headquartered in New York.

Double Containment

A strategy often referred to in geopolitics, aiming to neutralize or reduce the threat from two different adversaries or sources of risk simultaneously.

NATO

The North Atlantic Treaty Organization, a military alliance formed in 1949 comprising North American and European countries for mutual defense and security.