Which of the Following Statements Is FALSE

question 26

Multiple Choice

Which of the following statements is FALSE?

• A)When we refer to the "risk-free interest rate," we mean the rate on U.S.Treasuries.
• B)Interest rates vary with the investment horizon.
• C)All borrowers,besides the U.S.Treasury,have some risk of default.
• D)When interest on a loan is tax deductible,the effective after-tax interest rate is τ × (1 - r).

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Definitions:

Posterior Pituitary

is the rear part of the pituitary gland; it stores and releases antidiuretic hormone (ADH) and oxytocin, which are produced in the hypothalamus.

Neural Crest Cells

Cells derived from the crests of the forming neural tube in the embryo; together with the mesoderm, they form the mesenchyme of the embryo; they give rise to part of the skull, the teeth, melanocytes, sensory neurons, and autonomic neurons.

Adrenal Cortex

The outer region of the adrenal glands that produces vital steroid hormones such as cortisol, aldosterone, and androgens.

Enteric Nervous System

The Enteric Nervous System is a network of neurons that govern the functions of the gastrointestinal tract, often referred to as the "second brain."